Home » UK economy grows slightly for second month in a row

UK economy grows slightly for second month in a row

The UK economy has grown slightly for the second month in a row, official figures show.

Gross domestic product (GDP) grew just 0.1% in February, the Office for National Statistics (ONS) said.

It’s another signal that the UK economy is working its way out of recession.

Growth of 0.3% was recorded last month – and that figure has been revised upwards from a previous estimate of 0.2%.

A recession was declared in February after data showed two quarters of economic contraction.

If the economy expands for three months, the UK will be officially out of recession.

February growth came thanks to expansion in manufacturing – especially in the car industry.

The services sector also grew a little as public transport, haulage and telecommunications had a strong month.

Money latest: At what age do you reach peak earnings?

Please use Chrome browser for a more accessible video player

John Lewis CEO calls for political stability

Overall growth was historically small as sectors such as construction were hampered by rain.

It’s not the first time that the weather has dampened economic growth.

As the UK experienced a record 18 months of rainfall, retail sales and building activity have been affected – weighing on productivity across the country.

But when the past three months are taken as a whole, the economy grew for the first time since last summer, the ONS said.

It’s good news for the Conservatives after Prime Minister Rishi Sunak made growing the economy one of his five priorities.

So far only one has been achieved: halving inflation.

Follow Sky News on WhatsApp
Follow Sky News on WhatsApp

Keep up with all the latest news from the UK and around the world by following Sky News

Tap here

Responding to the data, Chancellor Jeremy Hunt said: “These figures are a welcome sign that the economy is turning a corner, and we can build on this progress if we stick to our plan.

“Last week, our cuts to national insurance for 29 million working people came into effect across Britain as part of our plan to reward work and grow the economy.”

But Labour’s shadow chancellor Rachel Reeves warned: “After 14 years of Conservative economic failure, Britain is worse off with low growth and high taxes. The Conservatives cannot fix the economy because they are the reason it is broken.”