UK economy already slowing before Omicron hits. Third quarter growth is down to 1.1%. However, recovery was faster than anticipated.

  • From 1.3%, the UK economy’s growth for third quarter was revised down to 1.1 percent.
  • In 2020, recovery was more robust than anticipated which explains the decrease
  • UK plc has fallen to 1.5% from pre-pandemic levels instead of the 2.1% estimate  










It was today revealed that the UK’s economy is slowing down quicker than expected before Omicron.

The GDP grew by 1.1% in September and October, a revision to a previous estimate of 1.3 percent.

The Office for National Statistics (ONS) said the performance of the health sector and hairdressers were weaker across the third quarter.

In a rare light spot, however, the pace of recovery in the last year was reassessed upwardly. UK plc now stands at 1.5 percent, not 2.1 procent, below the level it was before the pandemic.

GDP expanded by 1.1 per cent in the three months to September, revised down from a previously estimated 1.3 per cent. But the speed of the recovery last year has been reassessed upwards. As a result UK plc is now only 1.5 per cent below its pre-pandemic level, rather than 2.1 per cent

The GDP grew by 1.1% in the three months ending September. This is a revision to a previous estimate of 1.3 percent. However, the pace of recovery in the last year was reassessed. UK plc now has 1.5 percent less than its level before the pandemic, instead of 2.1%)

Changes for 2020 explain why there was a slowdown in third quarter. The economy had grown from a higher base, so it recorded a lower percentage of growth.   

As consumers become more fearful of the latest variant spreading across the UK, experts expect that December will see the economy contract.

Boris Johnson is currently a strong supporter of stricter restrictions in England. But other regions of the UK have put tougher rules, and hotels have had their trade destroyed as people vote.    

Darren Morgan (ONS director for economic statistics) said that the revised figures showed the UK’s GDP recovering a bit slower than expected in the third quarter. There were much lower performances by hairdressers and health professionals across the quarter. The energy sector contracted more in September, than previously thought.

“However, strong data for 2020 mean that the economy is closer to pre-pandemic levels during the third quarter.

“With the economy opening in the third quarter of the year, households have saved less over the last period.

“Handy saving is still higher than pre-pandemic levels.”

The ONS pointed out that most developed economies are still below pre-pandemic levels

According to the ONS, most of the developed countries are below their pre-pandemic level.

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