Economy grew by 0.3% at start of year

Posted on April 28th, 2017

The UK economy grew by just 0.3% at the start of the year, the slowest growth rate since the first three months of 2016, according to official figures.

The Office for National Statistics said that the slower pace in the January-to-March period was due mainly to the service sector, which sank to 0.3% growth against 0.8% at the end of 2016.

In the last quarter of 2016, gross domestic product increased by 0.7%.

Friday's figure is a first estimate and could be revised in the coming months.

Economists had been expecting GDP growth to slow as consumers reined back spending in the face of rising inflation, but they had pencilled in a higher figure of 0.4%, the BBC reports.