Economic recovery faster than forecast

The Office for National Statistics (ONS) is today expected to publish economic figures showing GDP up 0.3% in the opening three months of 2010 – better than first forecast.

Hopes are building that the revision of gross domestic product (GDP) will show an upgrade on the initial lacklustre growth estimate of 0.2% for the first quarter.

The Office for National Statistics is to publish its second estimate of GDP growth for the first quarter of the year, and is widely expected to raise its initial assessment.

There was disappointment last month at the first figures from the Office for National Statistics (ONS), which highlighted the fragility of Britain’s recovery.

But recent manufacturing figures have raised expectations for an upward revision after a surprise 2.3% jump in output from the sector during March.

The leap marked the highest monthly growth for nearly eight years and helped overall industrial production rise 1.2% over the first quarter, stronger than the 0.7% gain assumed in initial estimates of GDP growth.

This is all expected to see first quarter GDP revised up to 0.3%. While still down on the 0.4% growth in the final quarter of 2009, it would offer some hope on stuttering economic revival.

The ONS figures will also detail spending in the economy, which is likely to show the impact of a tough first quarter for retail sales.

Freezing weather and the reversal of the temporary VAT reduction in January may have led to a decline in overall consumer spending, according to analysts.

The news will come as a boost to the Treasury, just a day after the Chancellor announced £6bn of public spending cuts – including a freeze on all “non-critical” advertising campaigns.

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here