Thursday, July 25, 2024

UK economy rebounds better than expected in May

Must read

The UK economy grew faster than expected in May as it rebounded from a weather-affected slowdown the month before, official figures show.

The economy expanded by 0.4%, the Office for National Statistics (ONS) said, after seeing no growth in April when wet weather hit output.

The ONS said the economy grew strongly in May, with all sectors expanding.

The question of how to increase growth in the UK’s economy was one of the key battlegrounds in the recent general election.

Liz McKeown, of the ONS, said many retailers and wholesalers had a good month in May.

“Construction grew at its fastest rate in almost a year after recent weakness, with house building and infrastructure projects boosting the industry,” Ms McKeown added.

The new Labour government has announced a number of measures this week aimed at improving growth.

Chancellor Rachel Reeves has said housebuilding targets will be reintroduced, planning restrictions will be overhauled and there will be an end to the effective ban on onshore wind farms in England.

A new National Wealth Fund has also been announced to attract investment in infrastructure and green industry.

Latest article