QuidMetrics

UK economy grows in August, defying contraction forecasts

The UK economy expanded when analysts had predicted it would shrink, driven by a strong performance in production.

The UK economy grew by 0.1 per cent in August, according to official statistics, confounding market expectations. A Bloomberg poll of economists had predicted the economy would contract by 0.1 per cent during the month.

The expansion came after several months of solid growth and was supported by a boost in the production sector, suggesting the economy continues to show resilience despite the slowdown compared with earlier performance.