The Gross Domestic Product (GDP) of the UK fell 0.3% in August, the country’s National Institute of Statistics announced on Wednesday (12). The monthly index had risen 0.1% in July. It rose 2.0% when comparing August this year with the same month in 2021.
With the August result, the British body estimates that the UK’s GDP is at the same level recorded before Covid-19 hit the country and spread across the territory, in February 2020.
The British economy shrank in the month, driven by the productive sector, which fell by 1.8% in the period. Services fell 0.1%, while construction saw its second consecutive rise, rising 0.4%.
Production is 0.9% below the level of February 2020, which the British National Statistics Institute highlights as “the last month of normal trading conditions before the pandemic”.
The monthly decline in the sector resulted from a decline in three segments: mining and quarrying (-8.2%), manufacturing (-1.6%) and electricity and gas (-0.6%). On the other hand, water and sewage supply remained stable at 0.0%.
Manufacturing was one of the main negative highlights of the August index. It has had 8 out of 13 subsectors shrink since July, most notably basic pharmaceutical manufacturing, transportation equipment manufacturing and base metal manufacturing.
The 10.6% drop in oil and gas extraction led the monthly retraction in mining and quarrying production.
Source: CNN Brasil
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