UK GDP grew 0.3% qoq in Q3, matched expectations. Over the year, GDP grew 1.0% yoy in Q3, slowest quarter-on-year growth since Q1 2010. The service and construction sectors provided positive contributions to GDP growth, while output in the production sector was flat in Quarter 3 2019. Private consumption, government consumption and net trade contributed positively to GDP growth, while gross capital formation (GCF) contributed negatively to growth in the quarter.
In September, GDP contracted -0.1% mom, matched expectations. Industrial production dropped -0.4% mom, -1.4% yoy, versus expectation of -0.1% mom, -1.2% yoy. Manufacturing production dropped -0.4% mom, -1.8% yoy, versus expectation of -0.2% mom, -1.3% yoy. Goods trade deficit widened to GBP -12.5B, versus expectation of GBP -10.1B.
