United Kingdom economy returns to growth, slowdown fears persist
The UK economy returned to growth in May after shrinking in April, but the news failed to allay fears of a future slowdown.
The economy grew 0.3% from the month before, after declining 0.4% in April, according to the Office for National Statistics (ONS).
Growth for the three months to May was 0.3%, with all sectors showing growth.
A partial recovery in car production, which had fallen sharply in April, was the main reason for the economy’s upturn in May. Factory shutdowns designed to cope with disruption from a March Brexit had slashed UK car production in April by nearly half.
“GDP grew moderately in the latest three months, with IT, communications and retail showing strength. Despite this, there has been a longer-term slowdown in the often-dominant services sector since summer 2018,” Mr. Kent-Smith added.