August 17, 2022
UK gross domestic product (GDP) is estimated to have fallen by 0.1% in Quarter 2 (Apr to June) 2022, based on the first estimate.
In output terms, services fell by 0.4% in Quarter 2 2022 with the largest negative contribution from human health and social work activities, reflecting a reduction in coronavirus (COVID-19) activities.
There were positive contributions from consumer-facing services, such as other service activities (travel agencies and tour operators did particularly well as COVID-19 restrictions eased on the tourism industry), accommodation and food service activities , and arts, entertainment and recreation activities.
There was a 0.2% decrease in real household consumption in Quarter 2 2022, offset by a positive contribution from net trade; however, we continue to advise caution because of recent changes in data collection affecting the EU trade flows.
Monthly estimates published today (12 August 2022) show that GDP fell by 0.6% in June 2022, following a downwardly revised 0.4% increase in May; the Platinum Jubilee and the move of the May bank holiday led to an additional working day in May 2022 and two fewer working days in June 2022, although this impacted on monthly GDP, there was little impact on the quarterly estimates.
Compared with the same quarter a year ago, the implied GDP deflator rose by 6.0%, primarily reflecting the 7.3% increase in the price of household consumption expenditure, which is the fastest annual household deflator growth rate since 1991.
Source: Office for National Statistics
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.
