Slow Progress In Some UK Economic Sectors

Ngebray.com,- It’s been slow progress for the UK economy. GDP figures show growth in the second quarter at 0.3% up from 0.2 in the first. Year on year though it’s decelerated to 1.7 percent from two. UK Finance Minister, Philip Hammond, said, “This is a steady performance in the second quarter. We’ve grown for four and a half years now. We’ve created record levels of employment. So we should be proud of that. But we shouldn’t be complacent.”

Picture from nileinternational.net

The figures fueled by the service sector and film industry are not quite what they were this time. Last year when Britain’s economy defied expectations after the brexit vote by growing 1.8% among the fastest of the seven largest major advanced economies. Jasper Lawler, a Senior Analyst of LCG said, “Overall, I think you have to acknowledge that were is a slowdown taking place. That was what was feared all along in the aftermath of the brexit vote and it does seem like it’s coming to pass now.”

The other sectors have shown signs of improvement over half of a billion dollars was invested in UK financial technology companies in the first half of the year. While corporate giant BMW has announced it will build electric minis in the UK. Although that could be down in part to the weak pound. Jasper  added, “The only obvious factor from Brexit so far has been the drop in Sterling and naturally those sectors which benefit from foreign earnings seem to be doing better at the moment than the law domestically focused companies.”

Sterling’s fall also accelerating exports as revealed by the CBI on Tuesday saying UK factories have increased their output at the fastest rate since the mid 1990s over the past three months.