Feeds

ONS: Growth forecast for Blighty worse than expected

Stats-crunchers revise down final 2011 quarter numbers. Ouch

Beginner's guide to SSL certificates

A week after the Chancellor of the Exchequer delivered his Budget statement to Parliament, the Office for National Statistics has confirmed that the British economy shrank more than expected in the last quarter of 2011.

The ONS published official data today that showed that the limping services sector dragged the economy down further than expected for the three months ended 31 December.

It said that the UK economy fell by 0.3 per cent during the last quarter of 2011, pushing the annual rate of growth to just 0.5 per cent.

The ONS revised down its GDP growth estimate for last year to 0.7 per cent from a previous forecast of 0.8 per cent.

"By any standards, the level of economic activity has been weak during 2011 with real GDP in the final quarter of 2011 broadly unchanged from its level five quarters earlier (in the third quarter of 2010)," it noted.

The ONS added: "Preliminary indicators for the start of 2012 show that trade performance remained solid in January but retail sales weakened in February. Consumer price inflation continued to edge down slowly in February."

It said that the communication industry, along with transport, biz services and the financial sector all contributed to the ONS having to revise down its growth predictions for Blighty.

More chillingly, the ONS said that "domestic demand fell in real terms in 2011 by 0.8 per cent, mainly due to a 1.2 per cent fall in household final consumption".

That figure means that the decline in disposable incomes last year was the biggest drop since 1977.

Osborne told Parliament last week that he was hoping to see UK growth rise to 2 per cent next year and to 2.7 per cent by 2014. ®

Beginner's guide to SSL certificates

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
DOUBLE BONK: Testy fanbois catch Apple Pay picking pockets
Users wail as tapcash transactions are duplicated
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
In the next four weeks, 100 people will decide the future of the web
While America tucks into Thanksgiving turkey, the world will be taking over the net
Microsoft EU warns: If you have ties to the US, Feds can get your data
European corps can't afford to get complacent while American Big Biz battles Uncle Sam
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.