Key Statistics: 28th August 2012

UK Economy

• National Statistics have revised the estimated fall in the UK economy during the second quarter of 2012 from 0.7% to 0.5%, leaving economic activity 1.2% down on a year ago. The improved performance was in due to smaller than previously estimated falls in construction and the production industries. National Statistics estimate that:

• Construction output fell 3.9% during the second quarter to stand 8.6% down on a year ago.
• The production industries (covering manufacturing, the extractive industries and utilities) fell by 0.9% during the quarter and were 2.8% lower than a year earlier.
• Fixed investment fell by 3.2% during the quarter and was 1.2% down on a year ago.
• Household expenditure fell 0.4% and to stand 0.8% down on a year ago, while government consumptions was unchanged on the previous three months and 2.6% higher than a year ago.

• Weak corporate tax revenues widened the public sector deficit in July. The public sector net borrowing during the month was £0.6 billion during the month; this compares with a £2.8 billion surplus a year ago. Public sector current budget surplus was £1.2 billion in July 2012; this is a £3.0 billion lower surplus than in July 2011, when there was a surplus of £4.2 billion.  The public sector current budget deficit for the first four months of 2012/13 totalled £42.1 billion, a 36% increase on the £30.9 billion deficit for the same period last year.