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Sustained recovery boost

2010-10-26 38 Dailymotion


Latest figures reveal Britain's economy grew by a better-than-expected 0.8 per cent during the third quarter.


The rise was less than the 1.2 per cent in the previous three months but double the growth expected.


Economic growth over the past six months has now hit 2 per cent.


While the statistics are only a preliminary estimate and may be subject to change, the initial growth figures are likely to give a boost to Government deficit-busting plans.


This week, Labour leader Ed Miliband accused the Government of taking a "big gamble with growth" by pushing through deep public spending cuts, but a stronger recovery in the private sector should give Britain a better chance of withstanding austerity measures.


The Office for National Statistics data revealed a surge in construction output helped drive growth in GDP, growing by 4 per cent during the third quarter.


Output in the key services sector also grew.


Prime Minister David Cameron promised a "relentless focus on growth" this week, to help fill the hole left by the coalition's austerity measures, expected to cost 490,000 public sector jobs.


Critics doubt the private sector has the capacity Mr Cameron believes it does to take up the slack in the economy.