Pound euro exchange rate steady as Brexit uncertainty hits United Kingdom economic growth

Breakdown by sector

UK economy stalls ahead of general election

The latest data suggests manufacturing will make a positive contribution to GDP growth for the final quarter of 2017 - though it has a much smaller impact than the dominant services sector, which represents four-fifths of United Kingdom output.

From August to October, manufacturing fell 0.7% and construction by 0.3%.

The services sector was the only positive contributor to GDP growth in the three months to October 2019, growing by 0.2%.

"The U.K. economy saw no growth in the latest three months", the report said.

The Office for National Statistics (ONS) said on Tuesday that the gross domestic product (GDP) of United Kingdom has remained flat in October, services and production growth offset by a drop in construction. Output in both the production and construction sectors contracted, by 0.7% and 0.3%, respectively.

ONS reports that construction output decreased by 2.3% in the month-on-month all work series in October 2019; this is the largest monthly fall since January 2018 when it fell by 2.6%; this was largely because of a 3.1% fall in new work, with fix and maintenance also decreasing by 0.6%.

The UK economy stalled in October during what was a weak start to the final quarter that could now mean its all but certain that growth for the 2019 year overall will be less than an already-downbeat consensus expects. The country narrowly avoided a recession during the third quarter, which is classified by two consecutive quarters of contraction.

In the three months to October, growth was flat against the previous quarter.

The economy has been buffeted by both domestic and global headwinds in recent months while Tuesday's figures come just days out from the third general election in five years, the outcome of which could leave a mark on the economy for a while to come. However, pollsters are quick to point out that there are many wild-card factors in this election from the registration of more than 3 million younger voters to the effects of calls for the electorate to abandon traditional party loyalties and vote for candidates best placed to beat the Conservative candidate (particularly in marginal seats) to deny Mr Johnson a majority which would allow him to push through his Brexit deal.

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