Britain’s economy shrinks more than expected in July


 Britain’s economic output has shrank by a larger-than-expected 0.5 per cent in July after a growth of 0.5 per cent in June, the Office for National Statistics (ONS) said on Wednesday.

Output of all three main sectors dropped in July, the ONS said, adding that services and construction sectors fell by 0.5 per cent, and production went down by 0.7 per cent.

According to the ONS, the decline in services output contributed significantly to the falloff output in GDP in July.

“In July, industrial action by healthcare workers and teachers negatively impacted services, and it was a weaker month for construction and retail due to the poor weather.

“Manufacturing also fell back following its rebound from the effect of May’s extra Bank Holiday.

“However, the broader picture looks more positive, with the economy growing across the services, production and construction sectors in the last three months,’’ said Darren Morgan, director of economic statistics at the…

Source: Vanguard Newspaper