GDP fell 0.1% in October – industry reaction – Credit Connect

The UK economy unexpectedly contracted by 0.1% in October, data from the Office for National Statistics (ONS) shows, matching the 0.1% decline recorded in September. Economists had anticipated growth of 0.1%. Quarter-on-quarter, the economy shrank by 0.1% in three months to October, primarily due to a decline in manufacturing and stalled services growth. Production output fell by 0.5% over three months, driven by a 17.7% decline in vehicle manufacturing. ONS Director of Economic Statistics Liz McKeown said “The economy contracted slightly in the latest three months, as production fell again and services growth stalled. “Within production, there was continued weakness in car manufacturing, with the industry only making a slight recovery in October from the substantial fall in output seen in the previous month. “Overall services showed no growth in the latest three months, continuing the recent trend of slowing in this sector. There were falls in wholesale and scientific research, offset by growth in rental and leasing and retail.” Mike Randall, CEO at Simply Asset Finance, saif “A small dip in growth in October underlines a simple truth: even in the face of relentless speculation and negativity ahead of the Autumn Budget, SMEs kept pushing forward. “But with smaller
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