Q2 shows economy growth of 0.2%

Office for National Statistics (ONS) data shows that the UK economy grew by 0.2% in Q2, outpacing the 0.1% growth recorded in the first quarter. On a monthly basis, June saw growth of 0.5%. Darren Morgan, the ONS's director of economic statistics, noted that the manufacturing, services and construction sectors had a strong month in June. Chancellor Jeremy Hunt welcomed the ONS figures, commenting: “ The actions we're taking to fight inflation are starting to take effect, which means we're laying the strong foundations needed to grow the economy.” James Smith, research director at the Resolution Foundation think-tank, said that growth of 0.2% between April and June showed the UK's "relative resilience." However, he added: “The big picture is that the UK economy has expanded by just 0.4% since the start of 2022 – the weakest growth in 65 years outside a full-blown recession.” Paula Bejarano Carbo, of the National Institute of Economic Research, said: “We expect the UK to avoid a recession both this year and next.” The latest forecasts from the Bank of England also state that the UK is set to avoid a recession.

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