The Office of National Statistics’ (ONS) Second Estimate of GDP report revealed that the UK’s economy, in terms of volume Gross Domestic Product (GDP), has grown by 3% year on year.
Much of the growth came from the service sector, which grew by 3.4%. However, over half came from the financial and business services sectors, with a combined rate of 4.6% year on year. These statistics relate to the month of September.
For the UK economy, the service sector is vital. It currently makes up 78% of the UK’s output.
In volume terms, the UK’s GDP is estimated to have increased by 0.7% between the second and third quarters of 2014. This estimate is unchanged from the one published on 24th October, 2014.
Overall, the statistics were good, but some economists are concerned by the fact that business investment has fallen. This had decreased by 0.7% for the third quarter of 2014, when compared to the second.
The business investment figures were a surprise to some economists, because the statistics are at odds with several surveys. These indicated that firms were intending to invest in their ventures during 2014. However, some companies have found a way to borrow by using less traditional financial products, such as asset financing.
At DJB, we have helped many firms, even those who have been turned down by traditional lenders, to raise capital using asset backed lending. We can help you to secure finance, in this and a range of other ways, so please give us a ring.