The UK economy rose just 0.4% in October, according to new figures from the National Bureau of Statistics.
GDP growth fell from 1.1% in September as the second lockdown halted the economic recovery and shut down the hospitality sector.
GDP is 7.9% lower than pre-pandemic levels, with October being the sixth consecutive month of growth, with the slowest recovery rate since June. GDP is 23.4% higher than its April low.
“The pace of growth has slowed considerably since the relative highs seen in August and September, and accommodation and foodservice continue to face significant challenges,” said James, Chief Economist at Handelsbanken. Sproule said.
“The surge in restaurant activities in August, driven by the “Eat Out To Help Out” program, managed to drive revenue at the time. This recovery rate is clearly not sustainable and we see that all in-person activities are behind schedule. A widespread deployment of vaccines will clearly be needed for a full recovery.
“The November GDP count reflects the impact of secondary lockdowns and can only begin to assess the impact of UK deviations from the EU when viewing data posts. Rocks a few months away will be the same It’s a lot, he added.
Production increased by 1.3% and construction increased by 1.0%, while the services sector rose by just 0.2%.
“We are pleased to announce that ONS’s vice-national statistician Jonathan Atow:
“While public services production has increased, automobile production continues to recover and retail has once again become stronger. However, the reintroduction of some restrictions has hit service growth and hospitality is growing. That’s what the economy is, in other words, it’s more modest.”
The OECD recently predicted that the UK’s economic recovery will be the slowest in the world due to the high number of cases of coronavirus.
