Gross Domestic Product (GDP) in the UK rose a stunning 1.1 per cent during the second quarter of the year. This figure destroys the predictions of 0.6 per cent.
The reason behind the growth is that all sectors had a surge.
Let’s start with construction. It rose 6.6 per cent during the second quarter and at the same time experienced its biggest gain since 1963. By the same token, manufacturing grew at the best rate in a 10 year period.
The services sector saw triple the growth compared with the first quarter of the year.
Analysts have now come out and warned that interest rates could certainly rise sooner compared to later if this growth continues and inflation becomes a concern.
Chancellor George Osborne set a good example for Obama in saying he made the best judgement in tackling Britain’s debts before making huge cuts. This is what the experts have warned that big cuts acted upon too fast could cause a stalling economy.
RBS economist Richard Barwell added: “There is still a risk we could fall back into intensive care. But these numbers are clearly very strong.”