PM warns it will take time to revive economy after weaker-than-expected growth
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Turning the UK economy around will “take time”, Sir Keir Starmer said after the latest figures showed weaker-than-expected growth. The figures for November showed a return to growth for the first time since August but at a level which offered little respite to embattled Chancellor Rachel Reeves.
The Office for National Statistics (ONS) estimated the UK economy grew in November by 0.1% after falling by 0.1% in both September and October. Most economists were expecting gross domestic product (GDP) to rebound by 0.2% in November. The figures follow a difficult start to the year for the Chancellor after government borrowing costs surged and the value of the pound slumped amid worries over the economy and UK debt levels.
Markets calmed on Wednesday, with the sell-off on government bonds falling back thanks to a surprise fall in inflation, giving some breathing space to Ms Reeves. But November’s paltry growth means the economy would need to expand by at least 0.1% in December just to avoid contracting overall in the final quarter of the year, underscoring the task ahead for the Chancellor.
The Prime Minister told broadcasters during a visit to Ukraine that the Government would be “unrelenting” in its pursuit of economic growth. He said: “It was always going to take time to turn around 14 years of economic failure under the last government. That was always going to take time.
