The UK economy grew 15.5% in the third quarter

According to preliminary data released on Thursday, the UK economy is growing at 15.5% in the third quarter.

According to Reuters, economists expect GDP to grow by 15.8% in the first three months of September. It measures nationwide locking malfunction after falling to an unprecedented 19.8% in the previous quarter.

The third-quarter bounce represents the UK’s sharpest quarterly expansion since records began in 1955, but GDP is 9.7% lower than it was at the end of 2019, the National Statistics Office said on Thursday. Compared to the third quarter of last year, GDP fell by 9.6%.

Monthly growth slowed throughout the third quarter. According to ONS, GDP grew by 6.3% in July, fell to 2.2% in August and 1.1% in September, driven by industry, science and technology.

However, the UK is now expected to lose steam in the final three months of the recovery year, having been locked up for at least a month until at least December 2, amid a resurgence of corona virus cases.

Deadline for UK and EU to reach an agreement The post-Brexit trade relationship As it approaches more rapidly, it is widely expected that a “no deal” situation at the end of the year will cause further economic downturn.

‘Put champagne on ice now’

UK Finance Minister Rishi Sunak recently announced An extension of the country’s exciting plan Bank of England, in an effort to prevent a sudden rise in unemployment until the end of March The goal of the property purchase was to expand the shares $ 895 billion (tr 1.2 trillion). The central bank estimates an 11% contraction for the year.

“A strong recovery in the economy is clearly positive, but for now we need to keep the champagne in the snow,” said Leith Calf, financial analyst at investment platform AJ Bell.

“The summer boom was turbo-charged Eat outside to help The Furlough project worked its magic by concealing unemployment. “

Calf suggested how quickly the real “litmus test” economy could return to pre-epidemic levels, and while news of Pfizer’s vaccine advances has given businesses confidence, rising unemployment and bankruptcy are still possible in the winter. He added that the failed Brexit talks “could not help the economy in the wrong direction”.

James Smith, ING’s emerging market economist, said the third quarter figures were “as good as they are currently.”

“We may see a modest drop in GDP in October, which reflects the introduction of ‘restricted restrictions’ in the UK (which will further drag on hospitality) and local locks in Wales”

“However, this decline will be magnified in November, where we estimate that the monthly English lockout will see a 6-7% drop in monthly GDP. This will have a negative count for Q4 overall.”