11th Apr 2025 08:28
(Alliance News) - The UK economy grew at a faster pace than expected in February, rebounding from a lacklustre performance in January, figures on Friday showed.
According to the Office for National Statistics, gross domestic product rose 0.5% in February, with growth in all main sectors, following no growth at all in January.
The January result was revised up from a decline of 0.1% previously, while February's figure beat FXStreet consensus which forecast a 0.1% improvement.
The ONS said real GDP is estimated to have grown by 0.6% in the three months to February, compared with the three months to November, mainly because of growth in the services sector.
In February, services output grew by 0.3% in February, following unrevised growth of 0.1% in January and grew by 0.6% in the three months to February.
Production output grew by 1.5% in February, following a fall of 0.5% in January, revised up from a 0.9% fall, and grew by 0.7% in the three months to February, with manufacturing output driving the monthly and three-month growths.
Construction output grew by 0.4% in February, following a fall of 0.3% in January, revised down from a fall of 0.2%, but showed no growth in the three months to February.
Separate figures from the ONS showed the total goods and services trade deficit narrowed by GBP7.5 billion to a deficit of GBP1.0 billion in the three months to February, the lowest total trade deficit since the three months to July 2021.
The trade in goods deficit narrowed by GBP3.5 billion to GBP55.0 billion in the three months to February, while the trade in services surplus is estimated to have widened by around GBP4.0 billion to GBP53.9 billion.
Imports increased by GBP2.8 billion in February, reflecting a rise in both EU and non-EU imports. The value of goods exports remained stable in February, with minimal change to exports for both EU and non-EU countries.
Exports of goods to the US increased by GBP500 million in February, the third consecutive monthly rise, while imports of goods from the US increased by GBP200 million.
By Jeremy Cutler, Alliance News reporter
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