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UK economy hits speed bump

Dec 22 2010 12:12 Reuters

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London - The UK economy grew less quickly than previously thought in the third quarter, and growth in the second quarter was also revised down, official data showed on Wednesday.

The Office for National Statistics (ONS) said gross domestic product grew 0.7% on the quarter, down from the 0.8% previously estimated.

On the year, growth was revised down to 2.7% from 2.8%. Economists had expected growth to be unrevised at 0.8% on the quarter and 2.8% on the year.

The ONS blamed the revision on weaker outturns for production industries, construction and business services and finance.

Growth in the second quarter was also revised down to 1.1% from the 1.2% previously reported, following data which showed the construction sector grew less quickly than initially thought.

The figures suggest the recovery is less robust than some had hoped, and will reinforce fears of a sharp slowdown early next year when public spending cuts increasingly start to bite.

Balance of payments data released at the same time showed Britain's deficit with the rest of the world widened to £9.568bn in the third quarter, from £5.22bn in the second.

Economists had expected the current account gap to widen to £8.55bn.

 
 
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It pays to know the cost and what you’re getting in return
May 28 2012 09:33

Investors may not have a clue what they’re paying their money managers or they type of service they’re getting, or, whether they can actually negotiate lower fees. (Reuters)

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