The U.K. economy had a stronger-than-expected performance before the shock decision to leave the European Union.
The economy expanded by 0.6pc between April and June compared with the first three months of the year, when growth was 0.4pc. the Office for National Statistics (ONS) said.Text a loan The median forecast in a Bloomberg survey was for an expansion of 0.5 percent Compared with the same quarter a year earlier, the economy expanded by 2.2pc. This was the biggest increase since 1999, pushing up growth by 0.3 percentage points.
The pickup may mark the end of more than three years of uninterrupted growth. Recent surveys suggest the Brexit vote last month delivered an immediate blow to business and consumer sentiment, with retail sales falling the most in more than four years in July. Economists predict gross domestic product will fall this quarter and next, putting Britain into its first recession since 2009.
The loss of confidence could hit investment, jobs and consumer spending, piling pressure on Bank of England Governor Mark Carney and Prime Minister Theresa May to deliver monetary and fiscal stimulus. The pound has fallen 12 percent against the dollar since the referendum. It was at $1.3088 as of 11:13 a.m. London time, down 0.3 percent on the day.
While the figures show that growth was robust in the run-up to the Brexit vote, economists have highlighted that this is mainly due to a stronger performance in April.
The services sector, the largest part of the UK economy, grew 0.5%, while construction and agriculture fell 0.4% and 1% respectively.100 text loans Economic growth was strongest in April before easing off in May and June, the ONS figures show.
In a statement released by the Treasury, Hammond said the latest growth figures show Britain is entering negotiations to leave the EU from a position of economic strength.
Britain is the first Group of Seven nation to report second-quarter GDP. The U.S. is due to publish its estimate on Friday, two days after the Federal Reserve announces its latest policy decision. Economists see U.S. growth accelerating to 2.6 percent on an annualized basis. The U.K. grew at an annualized pace of 2.4 percent in the period. Visit at http://www.textaloan.org.uk/.