UK still out of recession with 0.2% growth in Q1

UK GDP grew by 0.2% in the first quarter of 2010, lagging the 0.4% growth rate widely expected.

Figures from the Office for National Statistics released today show that the increase in output was largely due to growth in business services, finance, and the manufacturing sector. GDP decreased 0.3% in the first quarter compared with the first quarter of 2009. Britain came out of recession in the fourth quarter of 2009 with GDP growth of 0.4%, revised up from 0.1%. Analysts and economists had expected a similar figure for the first three months of this year. However, the figure may yet be revised upwards. Output in the services industries increased 0.2% in Q1, while production o...