Consumption in United Kingdom

United Kingdom Consumption | Economic News & Forecasts

United Kingdom - Consumption

Economic activity growth ebbs in August

GDP expanded 2.1% on a calendar-adjusted month-on-month basis in August (July: +6.4% mom), amid softer growth in industrial production, construction and services. The slowdown was to be expected given several months of rapid recovery, and GDP is now 9.2% below its pre-Covid-19 level.

On a rolling quarterly basis, GDP grew 8.0% in June-August, rebounding notably from May-July’s 6.8% fall and marking the best result on record.

Looking ahead, the economy is set to slow sharply heading into Q4 following the announcement of new lockdown measures in early October, which will hit the hospitality sector in particular. The sagging labor market and Brexit uncertainty will further weigh on momentum.

According to economists at Berenberg:

“[A] robust Q3 gives way to serious virus risks […] Amid mounting restrictions, and in line with our latest revisions to the Eurozone outlook, we downgrade our Q4 call to 2.0% qoq from 2.5% previously.”

FocusEconomics panelists expect the economy to contract 9.9% in 2020, which is down 0.5 percentage points from last month’s forecast, and to expand 6.5% in 2021, which is up 0.2 percentage points from last month’s forecast.

United Kingdom - Consumption Data

2015   2016   2017   2018   2019  
Consumption (annual variation in %)3.0  3.6  2.2  1.6  1.1  

Sample Report

5 years of economic forecasts for more than 30 economic indicators.

Download

United Kingdom Facts

Value Change Date
Bond Yield0.83-3.04 %Jan 01
Exchange Rate1.33-0.35 %Jan 01

Sample Report

Get a sample report showing our regional, country and commodities data and analysis.

Download

Request a Trial

Start working with the reports used by the world’s major financial institutions, multinational enterprises & government agencies now. Click on the button below to get started.

Sign Up

Economic News

Search form