\n The UK economy is set to have returned to growth in November as car production recovered following the Jaguar Land Rover cyber attack, according to economists.\n<\/p>\n
\n Experts have pointed to stronger growth for the month despite caution in the run-up to the autumn budget at the end of the month.\n<\/p>\n
\n Monthly UK GDP (gross domestic product) is expected to have risen by 0.2% in November when the Office for National Statistics unveils its latest figures on Thursday January 15, according to economists at Pantheon Macroeconomics and Investec.\n<\/p>\n
\n It would represent a timely boost for the Labour government after declines of 0.1% in both September and October, and mark the first increase since June.\n<\/p>\n
\n Economic activity across the previous two months was hit by weaker production, particularly in the car manufacturing sector after UK\u2019s largest car maker JLR stopped production during September due to a major cyber attack.\n<\/p>\n
\n The ONS also highlighted that some business spending was subdued ahead of the budget, which took place on November 26.\n<\/p>\n
\n November\u2019s data is, however, expected to show some uplift in consumer spending ahead of Christmas despite concerns over the budget.\n<\/p>\n
\n Rob Wood and Elliott Jordan Doak, economists at Pantheon Macroeconomics, said they expect hospitality spending could help drive growth in the services sector.\n<\/p>\n
\n They said: \u201cAll told, we think the economy continued to chug along in November, despite months of pre-budget uncertainty.\n<\/p>\n
\n \u201cServices activity likely rose at a solid clip in November, driven by healthy growth in consumer-facing services.\u201d\n<\/p>\n
\n Hospitality spending data from CGA and RSM indicated 3.1% growth in November, up slightly from 3% in the previous month, amid resilient spending in parts of the sector such as pubs and a slight lift from inflation.\n<\/p>\n
\n Nevertheless, monthly retail data from the ONS showed that retail sales volumes dipped by 0.1% in November.\n<\/p>\n
\n The fresh ONS data will shed more light on how confident businesses and consumers were with their spending and investment during the month, amid concerns over potential budget tax changes.\n<\/p>\n
\n Thursday\u2019s data is likely to see the biggest improvement in manufacturing.\n<\/p>\n
\n Investec\u2019s Philip Shaw predicted a manufacturing \u201cbounce back\u201d during the month as car production moved back towards more normal levels.\n<\/p>\n
\n Last month, the Society of Motor Manufacturers and Traders (SMMT) reported that production jumped 22% month-on-month in November, with vehicle manufacturing up 12%.\n<\/p>\n
\n Experts at Pantheon said this improvement is also likely to help support growth over the final quarter of 2025, but said this is still likely to be 0.1% growth for the period.<\/p>\n","protected":false},"excerpt":{"rendered":"The UK economy is set to have returned to growth in November as car production recovered following the…\n","protected":false},"author":2,"featured_media":362909,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[84,1294,56,54,55],"class_list":{"0":"post-362908","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-business","9":"tag-economy","10":"tag-uk","11":"tag-united-kingdom","12":"tag-unitedkingdom"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/362908","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=362908"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/362908\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/362909"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=362908"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=362908"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=362908"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}