British economy contracts less than expected
September 28 , 2012
Britain's economy contracted less than expected during the second quarter, according to official figures released on Thursday.
The economy shrank by 0.4 percent in the April-to-June period, the Office for National Statistics (ONS) said in its third estimate of gross domestic product.
Initially, the ONS had estimated a contraction of 0.7 percent before revising it to 0.5 percent last month.
Analysts expect no change to the second estimate.
The first figures for any quarter are known as a "flash estimate" as they are based on incomplete statistics. The figures are revised at least twice as more data is collected.
A 3 percent decline in construction output in the second quarter of 2012 continued to drag down the economy. However, the figure was better than the first and second estimates of a drop of 5.2 percent and 3.9 percent respectively.
Production output, which includes manufacturing, dropped by 0.8 percent and was revised from a 0.9 percent decline.
The British economy has contracted for three consecutive quarters.
The third quarter could see a rebound on the back of an additional boost from the London Olympics.