GDP Up And No Double Dip Recession After All

The earlier estimate of GDP from the ONS that raised fears of a double dip recession in 2011-12 seems to have been revised and a double dip recession has been avoided according to a statistical bulletin from the ONS.

The earlier estimate of a fall in GDP growth between Q4 2011 and Q1 2012 of 0.1% has been revised to 'flat' and the worries about two consecutive quarters of negative growth have now gone.

In volume terms UK GDP increased by 0.3% between Q4 2012 and Q1 2013. The figure remains unrevised from the earlier estimation. In terms of current prices GDP seems to have increased by 0.9% for that period.

The households savings ration was at its lowest since Q1 2009 with an estimate of 4.2% in Q1 2013. Household real disposable income increased by 1.4% between 2011 and 2012, the highest since 2009.

Household Saving Up On Last Quarter

The quarterly national accounts version of GDP show that household saving increased from 5.9% in the first quarter of 2011 to 7.4% in Q2. The household saving ratio over the year however fell slightly from 7.8% to 7.5%. Real household income rose by 1.2% after a fall of 1.7% in quarter one. Disposable income rose by 0.1% in 2010 after an increase of 1.6% in 2009.