The British economy recorded growth in the last quarter of last year, thanks to travel activities and government support for energy costs. Economic output increased by 0.1% compared to the previous quarter after contracting by 0.1% in the third quarter, a contraction that was less than expected. The Office for National Statistics had previously stated that there were no indicators of economic growth in the fourth quarter.
British economic output remained at 0.6% below the levels of late 2019, making the UK the only country among the G7 industrial nations that has not yet recovered from the impacts of the COVID-19 pandemic.
The data also showed that the services sector, which dominates the British economy, rose by 0.1%, supported by a jump of around 11% in travel agency activities. Manufacturing activities grew by 0.5% and construction by 1.3%. The Bank of England raised interest rates last week for the eleventh consecutive time.
