Uk economy shrinking faster than first thought

Graham_Devon

Fresh figures on the UK construction industry could mean the UK economy shrank more than first thought in the first three months of 2009.
The Office for National Statistics said that construction output fell by 9% in the first quarter, much more than an initial estimate of 2.4%
ONS officials said "all things being equal", this could suggest the economy shrank 2.2% in the first quarter.

Earlier estimates indicated that the UK economy contracted 1.9%.

This was the worst quarterly figure since 1979.

"The plunge in construction output has serious negative repercussions when looking at the overall performance of the economy in the first quarter," said Howard Archer, an economist at Global Insight.
The ONS will publish a revised figure for GDP in late June.

So seems were worse than first thought. UK GDP in first quarter actually 2.2%

Cat695

mmmmm I wonder if this will have a long term effect on house prices???

tomterm8

Graham_Devon wrote: »

So seems were worse than first thought. UK GDP in first quarter actually 2.2%

I saw this, but I think they are jumping the gun. One sector is much worse than expected, but I think other sectors may counteract it. It's unusual for GDP to be revised more than .1% unless there is a major change in trend.