The U.K. economy expanded less than previously estimated in the fourth quarter as consumers and businesses absorbed faster price increases.
Gross domestic product rose 0.4 percent, compared with an initial estimate of 0.5 percent, the Office for National Statistics said on Thursday. In 2017, GDP growth was revised down to 1.7 percent from 1.8 percent, the weakest since 2012.
Brexit continues to dominate the outlook for the economy, creating uncertainty for companies and consumers that’s holding back demand. The drop in the pound following the referendum is also driving prices up faster than wages.
“Services continued to drive growth in 2017, but with a number of consumer-facing industries slowing, as price rises led to household budgets being squeezed,” said Darren Morgan, head of GDP at the ONS.
Source : Bloomberg