Economics Weekly By Lloyds TSB

Data released by the ONS last week showed that UK Q3 GDP growth was revised up from a drop of 0.4% in the first estimate to -0.3% in the second.

UK Q3 GDP breakdown raises concerns over rebalancing

Data released by the ONS last week showed that UK Q3 GDP growth was revised up from a drop of 0.4% in the first estimate to -0.3% in the second. The main news for us, however, was not so much this modest upward revision, but rather the accompanying breakdown of Q3 expenditure. As we outline below, the composition has renewed concerns over the prospects for the UK economy and its ability to undergo a successful rebalancing.

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