Steady pace of growth for UK economy, CBI data shows

The UK economy experienced a period of steady growth in the three months ended November, although the pace was slightly slower than that seen a few months earlier, data has revealed.

According to the most recent Confederation of British Industry's (CBI) growth indicator, the balance of firms which responded to the survey reported a rise in output of +13%, slightly below the +14% seen the previous month.

It was, however, significantly above the long-run average of +5%.

The main driver of growth was the business and consumer service sectors. The manufacturing sector continued to prove sluggish, while the distribution sector was also weaker.

Rain Newton-Smith, CBI director of economics, said: "Growth in the economy is steady this month, but momentum is slower than in the first half of the year.

"Business and consumer services are stoking the economic fire, but while manufacturing has seen a modest improvement, firms in the sector are still expecting to see a fall in output.

"The main risks to the UK economy still stem from outside, particularly fragilities in emerging markets and the potential for global financial market volatility."

At +17%, expectations for the next three months are the weakest they have been for two years, although still well-above the average of +10%.