Record bounce, ahead of a difficult Q4

Commenting on this morning’s UK GDP announcement, Melanie Baker, senior economist at Royal London Asset Management said:

“The UK economy bounced back strongly in Q3, while remaining one of the worst hit by the COVID-19 crisis.

“Although vaccine developments have brought hope of a return to some semblance of ‘normal life’ next year, there is quite a long way to go before the economy gets back to where it was pre crisis.

“Despite the 15.5% quarter on quarter non-annualised record gain, output in September was still 8.2% below February levels.

“Now, with England in lockdown, a contraction in output looks likely in Q4.”

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Issued November 2020 by Royal London Asset Management Limited, registered in England and Wales number 2244297; authorised and regulated by the Financial Conduct Authority. Registered Office: 55 Gracechurch Street, London, EC3V 0RL.