28 May, 2015
UK Gross domestic product increased by just 0.3% between Q4 2014 and Q1 2015 â€“ the lowest quarterly increase for two years, figures from the Office for National Statistics have revealed.
GDP increased by 0.1% per head between Q4 2014 and Q1 2015.
Vicky Redwood, chief UK economist at Capital Economics, said: “The lack of any upward revision to UK GDP in Q1 is a touch disappointing, but given the discrepancy between the weak GDP data and the more upbeat business surveys, a revision is still likely further ahead.
“We remain optimistic that Q1’s slowdown was just temporary and that the recovery is probably already back on track again.”
But Frances O’Grady, TUC general secretary, warned: “With growth so weak, the Chancellor’s plans to hit the economy with extreme cuts could plunge it into deeper trouble.
“The government must think again because its economic plan is failing. The economy urgently needs a new plan for growth, based on the strong foundation of investment in infrastructure and good jobs with decent pay.”
Year-on-year GDP has grown by 2.4%, down from the 2.8% recorded for the whole of 2014.
The UK saw a 0.9% reduction in net trade, but on the flipside investment saw a 1.5% rise.