UK Economy
UK economic growth “firmed up” in the three months to July, with growth in manufacturing credited as one of the driving forces.
According to the the latest CBI growth indicator, growth in output volumes strengthened by +20 percent in the three months to July, compared with +14 percent in June.
This rebound, it says, was largely due to a faster pace of growth in business and professional services with manufacturers and retailers reporting growth, albeit at a more moderate pace.
Expectations remain robust, with firms anticipating that growth will strengthen a little further in the next three months (balance of +27 percent).
“A healthy pace of growth puts the economy on a firm footing going into the third quarter and it looks set to stay that way through the rest of this year, as low oil prices and inflation help support spending,” commented Anna Leach, CBI Head of Economic Analysis.
Leach did, however, add that the strength in Sterling continues to cause “headaches” for exporters trying to sell inside the Eurozone.