GDP reveals shock loss, Royal Mail fined ₤ 10.5 m

“This is the second time we’ve fined the company since the pandemic. Royal Mail has provided an improvement plan, and we’re seeing some signs of progress, but it must go further and faster to deliver the service that people expect.”

07:43 , Graeme Evans

Capital Economics stated at the moment’s 0.1% dip in UK output in October means there’s each probability that the fourth quarter as a complete will present a decline.

The consultancy stated it was laborious to inform how a lot of the month-to-month fall is non permanent because of exercise being placed on maintain forward of the Budget.

The ONS reported that some producers, retailers and employment businesses stated that turnover was “negatively affected” nevertheless others profited as job was superior.

Chief UK economist Paul Dales stated the start line for the quarter signifies that it’s unlikely that GDP will match its 0.2% This autumn forecast or the Bank of England’s 0.3%.

He included: “That stated, with the Bank nonetheless worrying that inflation is just too excessive, we don’t suppose the financial system is weak sufficient to immediate the Bank to observe November’s 0.25% charge minimize with one other minimize at subsequent Thursday’s December assembly.

“That said, we’re not as confident about that as we were before this data release.”

07:27 , Graeme Evans

A survey by GfK at the moment confirmed shopper confidence held agency in December.

NIQ GfK buyer understandings supervisor Neil Bellamy acknowledged: “In December, customers adopted the holding sample we’ve seen for a lot of 2024, with the one-point improve within the general Index to -17 very near the 2024 common of -18.

“Consumer confidence is still far from strong but there is some room for optimism with views on personal finances over the next 12 months up two points versus November and creeping back into positive territory.”

However, customers are nonetheless pondering twice about big-ticket purchases after the rating for this part stayed the identical at minus 16 within the run-up to Christmas.

07:09 , Graeme Evans

The UK financial system contracted by 0.1% for a second month in a row throughout October.

The GDP estimate compares with City forecasts for development of about 0.1%-0.2%.

The ONS additionally reported an sudden decline in industrial manufacturing of 0.6%, which in contrast with hopes for a rebound to development of 0.3%.

07:01 , Graeme Evans

Asia markets have skilled a bout of heavy promoting after China’s Central Economic Work Conference did not announce new stimulus particulars.

The Shanghai Composite and Hang Seng index are down by round 1.9%.

Japan’s Nikkei 225 has additionally fallen 1% following a poor session for US markets, with the S&P 500 index 0.5% decrease and the Nasdaq Composite down 0.7%.

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