UK economic growth came in weaker than expected in August and the country’s manufacturing sector saw a dramatic plunge in output during the same month — two data points that will stoke fears of a recession.
Economic activity declined by 0.1% in August compared to July, meaning that the economy contracted on a monthly basis for the first time since April. Manufacturing saw a surprise 0.7% decline, way below the 0.1% growth analysts had expected.
Compared with the same month last year, manufacturing plunged by 1.7%, even though car plants were expected to boost output after moving forward their usual summer shutdowns to April to coincide with the original Brexit deadline.
