Bang in line with expectations, we have just seen the latest Q2 GDP figures which show that the UK economy grew by 0.7%, following on from a 0.4% growth in Q1.
Services and production led the way, growing 0.7% and 1% respectively, though disappointingly construction growth was flat.
These figures are 2.6% higher than the same quarter last year.
Andrew Montlake, Director at Coreco Mortgage Brokers commented, “Whilst these figures were bang on expectations, it was disappointing to see construction once again struggling, especially when we need a strong construction sector to, amongst other things, help build the number of homes required to meet demand in the UK.
“Overall however, this growth will put more pressure on the Bank of England’s Monetary Policy Committee, (MPC) to at least start the engine in preparation for interest rate rises in the near future. The next MPC meeting will be very interesting.”