Economy grows by 0.8%

The economy has grown grew by 0.8% between June and September, the fastest pace in three years. Services provided the biggest boost but the utility sector fell 6.8%.

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Treasury: Recovery 'now has real momentum'

A Treasury spokesperson said the economic recovery "now has real momentum".

Today's GDP figures show that Britain's hard work is paying off and the country is on the path to prosperity.

Many risks remain, but thanks to our economic plan the recovery now has real momentum.

All parts of the economy are growing, the deficit is falling and jobs are being created - and that's the only sustainable way to raise living standards for hardworking families.

– HM Treasury spokesperson


GDP predicted to increase between 0.8% and 1%

Growth of 0.8% would be the strongest level recorded for three years and some experts think it could be nearer 1%, amid buoyant survey data from a number of sectors.

Investec's Philip Shaw forecasts 0.8% growth for the third quarter but said it was "not impossible" that this could be closer to 1%.

Analysts at Scotiabank predict a reading of close to 1% - lying somewhere between "spectacular" survey data suggesting growth of up to 1.5% and official figures pointing to expansion of as little as 0.5%.

Mark Carney warns recovery in London and South East is 'not enough'

Howard Archer, of IHS Global Insight, predicts GDP growth of 0.8%, the strongest since the second quarter of 2010, when a 1% improvement was recorded.

He said domestic demand may have risen by around 1% for the third quarter of 2013 but will have been tempered by disappointing net trade and industrial production figures.

Social dangers hidden beneath uneven UK growth

by - Economics Editor

The dangers of uneven growth across the country include those that are social. We know the impact of long-term unemployment in places like the North East, which has been the very slowest to recover. Although the region has been recovering and growing this year.

The other danger is the difficulty of managing an economy that has hotspots, which the Bank of England may want to control by raising interest rates.

But that would have the effect of killing off the recovery in an area that is struggling. While London dominates, the North West is still doing very well.

There are signs that growth and the confidence that come with it are edging back right across the economy. We get the first estimates of growth tomorrow. The betting amongst economists is 0.8 per cent growth. That's better than expected at the beginning of the year, but it is still weak.

Read: Energy price rises 'significant'


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