UK economy grows, recession over - but you are feeling any better off?
10:59am Thursday 25th October 2012 in News
ACCORDING to figures, the economy is growing and we are out of recession – but does this actually match of the reality of your current financial situation?
The UK climbed out of the double-dip recession with a bang between July and September as the economy returned to growth at its fastest pace in five years, official figures show.
Gross domestic product (GDP) - a broad measure for the total economy - grew one per cent in the third quarter of the year, the Office for National Statistics (ONS) said, ending three consecutive quarters of declining output.
City experts had expected a rise of 0.6%. The actual figure is the biggest increase since the third quarter of 2007.
The largest contribution to the surge came from the powerhouse services sector, which makes up around 75% of the total economy and grew at 1.3%, following a 0.1% drop in the previous quarter.
But the bounce-back was largely driven by one-off factors, the ONS warned, such as clawed-back activity lost to the extra bank holiday for the Queen's Diamond Jubilee and a slight lift from the Olympics.
Do you feel that we are out of the economic woods now? Are you actually seeing signs of improvement? If you’re involved in business, do you have more confidence going forward? With a lot of shops staying empty and a lot of people still struggling for work, are these results really cause for optimism? Are you in a better position now than a few months ago when it comes to spending money on non-essentials such as household luxuries or holidays? Add your comments below.