John Hawksworth, chief economist at PwC, comments on the latest UK GDP data:
"GDP growth in the three months to August was slightly stronger than expected at 0.7% compared to the previous three months. This reflects upward revisions to earlier estimated growth in June and July, while the initial estimate for growth in August is zero, as both manufacturing and construction output declined and services sector output was broadly flat.
"Overall, the pattern of UK growth this year has been heavily affected by the weather, with the unusually long and cold winter dampening growth in the first quarter while the relatively warm spring and summer boosted growth in the second and third quarters of the year.
"But aside from these seasonal variations, the underlying trend is for moderate UK growth at a rate of around 1.5% per annum. This is somewhat below its longer term trend rate of around 2% and reflects the continued drag on business investment in particular from Brexit-related uncertainty. This seems likely to continue into the fourth quarter of 2018, when we expect some moderation of UK growth to around 0.3-0.4%."
At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 157 countries with more than 223,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com.
PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details. © 2018 PwC. All rights reserved
Manager, media relations, PwC United Kingdom
Tel: +44(0)7551 235 010