UK economic growth worse than expected in Q4

The UK economy shrank more than previously feared in the final quarter of last year, the latest official figures have revealed.

According to the Office for National Statistics, UK GDP shrank by 0.3% in Q4, worse than the previous estimate of a 0.2% drop. The data strengthens the case for the Bank of England to maintain asset purchases to give the UK's ailing economy a much needed boost and prevent a technical recession. The ONS said the fourth quarter fall in GDP was largely driven by the biggest drop in business investment for a year, which Chancellor George Osborne moved to rectify in last week's ‘business friendly' Budget. In total the UK economy grew 0.7% for the whole of 2011. "This downward revisio...