Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it’s investigating the financials of Elon Musk’s pro-Trump PAC or producing our latest documentary, ‘The A Word’, which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.
The UK economy shrunk again in October, according to official figures, in yet another blow to Rachel Reeves.
The Office for National Statistics (ONS) said output fell by 0.1 per cent following the 0.1 per cent decline recorded for the previous month.
The latest figures cover the month ahead of the government’s first budget, which saw Labour unveil £40bn worth of tax rises.
It marks a fractional shift in the outlook for the economy after it eked out 0.1% growth over the latest quarter, between July and September.
The ONS said the services sector recorded no growth in October after also stalling in September.
The Chancellor said: “We are determined to deliver economic growth as higher growth means increased living standards for everyone, everywhere. This is what our Plan for Change is all about.
“While the figures this month are disappointing, we have put in place policies to deliver long-term economic growth.”
The latest economic news comes as the government continues to face criticism over the more controversial elements of the Budget, including changes to inheritance tax and the winter fuel payment.
ONS highlights GDP decline
- Monthly real gross domestic product (GDP) is estimated to have fallen by 0.1% in October 2024, largely because of a decline in production output; this follows a fall of 0.1% in September 2024.
- Real GDP is estimated to have grown by 0.1% in the three months to October 2024, compared with the three months to July 2024, with growth in the services and construction sectors in this period.
- Monthly services output showed no growth in October 2024 after also showing no growth in September 2024, but grew by 0.1% in the three months to October 2024.
- Production output fell by 0.6% in October 2024, because of falls in manufacturing, and mining and quarrying output, following a fall of 0.5% in September 2024; production output fell by 0.3% in the three months to October 2024.
- Construction output fell by 0.4% in October 2024, following a growth of 0.1% in September 2024, but grew by 0.4% in the three months to October 2024.
Barney Davis13 December 2024 07:53
Shadow chancellor blames Labour for ‘talking down the economy’
Shadow chancellor Mel Stride said the impact of the declining growth figures will be “felt by families through higher taxes, fewer jobs, higher prices and higher interest rates”.
He said: “It is no wonder businesses are sounding the alarm. This fall in growth shows the stark impact of the Chancellor’s decisions and continually talking down the economy.”
Barney Davis13 December 2024 07:49
Another blow to Rachel Reeves as GDP shrinks for second month running
The latest figures cover the month ahead of the government’s first budget, which saw Labour unveil £40bn worth of tax rises.
The Independent’s Political Correspondent Millie Cooke reports:
Barney Davis13 December 2024 07:46
Rachel Reeves calls GDP stats ‘disappointing’
Chancellor Rachel Reeves, responding to October’s GDP statistics, said: “We are determined to deliver economic growth as higher growth means increased living standards for everyone, everywhere. This is what our Plan for Change is all about.
“While the figures this month are disappointing, we have put in place policies to deliver long-term economic growth.
“We have put public finances back on a stable footing, capped the rate of corporation tax at the lowest level in the G7, established a £70 billion National Wealth Fund to drive growth in our towns and cities, launched a 10-year infrastructure strategy and are creating pension mega funds to boost investment in British businesses, infrastructure and clean energy.”
Barney Davis13 December 2024 07:41
‘Oil and gas extraction, pubs and restaurants and retail all had weak October’
The latest figures from the ONS come after it recorded 0.1% growth between July and September, a slowdown on the 0.4% increase between April and June.
Liz McKeown, the ONS’s director of economic statistics, said: “The economy contracted slightly in October, with services showing no growth overall and production and construction both falling.
“Oil and gas extraction, pubs and restaurants and retail all had weak months, partially offset by growth in telecoms, logistics, and legal firms.
“However, the economy still grew a little over the last three months as a whole.”
Barney Davis13 December 2024 07:39
