UK GDP February 2025

The UK’s economy grew in February in the midst of a high-to-0.5% month-month expectation in the production of service. Government data Shown on Friday.

According to LSEG data, analysts estimated a monthly gross domestic product growth of 0.1% in February.

Office for National Statistics, which published provisional figures, stated that 0.3% expansion in the service sector has inspired amazing jump in development. In January, services recorded 0.1% monthly growth.

Production output saw adequate recovery in February compared to a monthly contraction of 0.5% seen in January, which increased by 1.5% month. Construction output staged recovery in February, adding 0.4% a month after falling 0.3% in January.

British Pound After the data release, the dollar jumped against the dollar, traded 0.6% against Greenback at $ 1.3047 in London till 8:08 am.

In January, an initial estimate showed the UK economy Unexpected shrink 0.1%on monthly basis. The figure was later revised upwards to show that economic growth in January was flat.

The UK economy has struggled to gain momentum in the last one year. ONS data showed 0.1% in Britain’s GDP earlier this year. In fourth quarter After last year, Flatalining three months ago,

Friday figures are released as Britain’s braces for the economic impact of new 10% tariffs on its exports to the United States as UK.

British MP Was hoping to escape US President Donald Trump’s full strength of tariff regime, with America Accounting for 17% of Britain’s international trade Till September 2024 in the year – it is Britain’s largest trading partner.

Trump Suspended mutual tariffIf this summer is restored once again after their stagnation, the British will slap the UK with an additional 10% of duties on goods.

Saren Thiru, director of the Economics of the Institute of Chartered Accountants in England and Wales, said that the possibility of uncertainty created by tariff would override the better-to-the-to-applied economic data of Friday when it comes to the decision of the Bank of England whether the interest rates are to be trimmed next month.

According to LSEG data, the markets are currently priced at the 25-base-point interest rate cut from Bank of England in May, which will reduce the main interest rate of the Central Bank by 4.25%.

Thiru said, “Although the activity has been strongly reversed as services and manufacturing production, the February figures are firmly pushed into the background by the financial market Baddalam due to Trump’s tariff announcements,” Thiru said.

“More and more global financial and economic instability caused by US tariff declarations is not more likely to cut rates, by removing the concerns of the rate setters higher than the UK economy.”

During this time, Major welfare expenses deduction And A big tax burden Concerns have arisen about the approach to the economy on businesses.

Last month, UK office for budget responsibility Halfing its development forecast For the UK, in 2025, its approach dropped from 2% to 1% increase.