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| Contraction of economy speeds up | Contraction of economy speeds up |
| (40 minutes later) | |
| The UK economy shrank faster between July and September than had previously been thought, official data showed. | The UK economy shrank faster between July and September than had previously been thought, official data showed. |
| The Office for National Statistics (ONS) said it had contracted by 0.6% in the quarter - its previous estimate had been a contraction of 0.5%. | The Office for National Statistics (ONS) said it had contracted by 0.6% in the quarter - its previous estimate had been a contraction of 0.5%. |
| The previous quarter was left unrevised at a figure of zero growth. | The previous quarter was left unrevised at a figure of zero growth. |
| The economic growth figures are closely watched because two consecutive negative figures are generally thought to indicate a recession. | The economic growth figures are closely watched because two consecutive negative figures are generally thought to indicate a recession. |
| The service sector was among those hit in the third quarter, shrinking by 0.5%, having grown by 0.2% in the previous three months. | The service sector was among those hit in the third quarter, shrinking by 0.5%, having grown by 0.2% in the previous three months. |
| The situation was even worse in the manufacturing sector, where output shrank by 1.4% in the period. | The situation was even worse in the manufacturing sector, where output shrank by 1.4% in the period. |
| Mortgage gloom | Mortgage gloom |
| The government will produce its first estimate of growth between October and December early in the New Year. | The government will produce its first estimate of growth between October and December early in the New Year. |
| The zero growth figure in the second quarter ended a run of 63 consecutive quarters of growth, which began in 1992. | The zero growth figure in the second quarter ended a run of 63 consecutive quarters of growth, which began in 1992. |
| Meanwhile, there was more gloomy news on the housing front, as mortgage approvals reached a new record low in November. | Meanwhile, there was more gloomy news on the housing front, as mortgage approvals reached a new record low in November. |
| The number of mortgage approvals for house purchases fell by 14% in November to 17,773, according to the British Bankers' Association. | The number of mortgage approvals for house purchases fell by 14% in November to 17,773, according to the British Bankers' Association. |
| Trade data | |
| There were also trade figures released, with the current account deficit coming in at £7.7bn between July and September, compared with £6.4bn in the previous quarter. | |
| Current account is the difference between a country's total exports of goods and services and its total imports of them. It excludes financial transactions. | |
| The deficit was smaller than expected, "but this will probably still leave a current account deficit of 3% to 4% of GDP this year, so any relief for the ailing pound is likely to be mild," said Jonathan Loynes at Capital Economics. | |
| There were also productivity figures, which showed that output per worker fell 0.2% in the third quarter, compared with the same quarter a year ago. |