The recession-hit British economy shrank less than expected at 0.7 per cent in the second quarter of this year,indicating that the worst of the financial turmoil could well be over for the country.
Spurring hopes that the country is on the path of economic revival,the GDP contraction is lower than the earlier second-quarter projection of 0.8 per cent.
In the first quarter,the UK GDP declined at a staggering pace of 2.4 per cent,the most in 51 years.
“Gross Domestic Product (GDP) contracted by 0.7 per cent in the second quarter of 2009.
“This has been revised from a fall of 0.8 per cent in the preliminary estimate of GDP,due to upward revisions to production. GDP is 5.5 per cent lower than the second quarter of 2008,” UK’s Office for National Statistics said in a statement.
The improvement in the economy for the second quarter was mainly due to better output of production industries and manufacturing industries.
According to the statement,output of the production industries fell by 0.6 per cent compared with a fall of 5.1 per cent in the previous quarter.
Meanwhile,”Output of manufacturing industries falling by 0.2 per cent compared with a fall of 5.5 per cent in the previous quarter”.