UK economy ekes out 0.1% growth, below expectations [Video]

The U.K. economy showed a surprise contraction in September and only marginal growth in the third quarter following a strong rebound at the start of the year, initial figures showed Friday.

Gross domestic product fell by 0.1% in September, following growth of just 0.2% the previous month, according to the Office for National Statistics. Economists polled by Reuters had expected growth of 0.2% for September.

For the third quarter as a whole, the British economy grew just 0.1% compared to the previous quarter. That’s below the 0.2% growth expected by economists and follows an expansion of 0.5% in the second quarter of the year.

U.K.’s dominant services sector also grew just 0.1% on the quarter, the Office for National Statistics said. Construction rose by 0.8%, while production slipped 0.2% in the month.

It comes after inflation in the U.K. fell sharply to 1.7%in September, dipping below the Bank of England’s 2% target for the first time since April 2021. The …