Today, Ali Lyon, assesses whether August’s positive GDP figures are a sign of a revival in the UK economy. Sign up to the City AM News Updates newsletter here.For much of the past decade and a half, describing the UK economy has been a relatively easy task.
‘Languid’ has often worked. ‘Stuttering’ has been another favourite. And when things have looked especially sullen, ‘moribund’ or ‘anaemic’ have more than sufficed.But if today’s GDP figures are anything to go by, then cliche-dependent hacks like this one might find themselves having to reach for their thesauruses in search of a new vernacular.Granted, a 0.1 per cent jump in economic activity in August is hardly cause to crack open the English sparkling wine.
But it was, as almost every economist has been at pains to point out this morning, an expectation-defying 0.1 per cent nevertheless.The headwinds facing the upward nudge were manifold.
And the sources of that resilience – improved productivity, early signs of a tech boom, and an uptick in our, yes, ‘moribund’ manufacturing sector – inspire some confidence.
Stay in the know Three daily briefings with the key market moves and top business and political stories. SUBSCRIBE HERE It is worth reflecting on why quite so many macro analysts are in such a celebratory mood.