British economy defies expectations with 0.1% GDP growth in 4th quarter of 2024

On annual basis, GDP estimated to have risen 1.4% in October-December

By Tuba Ongun

The British economy showed an unexpected twist in the fourth quarter of 2024, recording a 0.1% growth compared to the previous quarter, according to preliminary data released on Thursday.

This modest growth bucked market predictions of a 0.1% quarter-on-quarter contraction.

The latest figure followed stagnation in the third quarter, when the GDP remained flat at 0%, data from the Office for National Statistics showed.

Key contributors to the growth included a 0.2% growth in the services sector and a robust 0.5% expansion in construction output. However, these gains were slightly offset by a 0.8% decline in production.

On an annual basis, GDP in the UK is estimated to have risen 1.4% in October-December 2024, accelerating from upwardly revised 1% growth in the July-September period.

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