UK Officially Out Of Recession

The latest GDP preliminary estimates show that Britain is officially out of recession. According to the ONS, GDP increased by 0.1% in the fourth qaurter of 2009. The index increased from 100.6 to 100.7 (100=2005). It means the recession is over, recovery has begun and if it can be maintained we can look towards growth. The increase is mainly due to the distribution, hotels and restaurants category with an increase of 0.4% and govermnent services with an increase of 0.2%. Output in both the production and the service industries increased by 0.1%. Between Q4 2008 and Q4 2009 GDP decreased by 3.2%.

These preliminary GDP estimates may be revised upward or downward during the next few weeks until the end of February when the Output, Input and Expenditure (OIE) estimates are published. The full set will be published in the Quarterly National Accounts in April.