Car and computer production fall slows UK economy growth
A sharp fall in the production of cars and computer goods is blamed for the UK's economic growth slowing in February.
The Office for National Statistics (ONS) said the economy expanded by 0.1 per cent compared with 0.8 per cent in January.
The fall in manufacturing was off-set by growth in the services sector including areas such as tourism and travel.
The UK economy is 1.5 per cent above its pre-coronavirus pandemic level in February 2020, the ONS said.
Economists had been expecting gross domestic product (GDP) - which measures activity in services, construction and industrial production - to grow by 0.3 per cent in February. Most Covid restrictions were lifted in England at the end of January and it had been hoped that would continue to support growth.
Erin Henwood (pictured), policy adviser at Greater Birmingham Chambers of Commerce, said: “These results confirm that the UK 's economic growth continued to lose momentum in February, even before the full impact of Russia 's invasion of Ukraine on global supply chains had been felt.
“As businesses navigate rising levels of inflation, increasing overheads and - as of April - increased taxes, it is likely that this slowdown is the start of a sustained period of weaker growth.
“Businesses are already feeling the pinch as the cost of doing business continues its climb. The Government must urgently consider what support is necessary - whether it is energy grants for SMEs or more complex fiscal intervention - to help firms continue their post-pandemic recovery.
“Our Quarterly Business Report for Q1 showed continuing positivity from local businesses on the short term but rising concerns about inflation and the wider economic environment.
“We will be discussing the results in full, along with some of the major investment projects coming Greater Birmingham 's way, at our Q1 Quarterly Business Report Briefing on 27 April. ”
Find out more about our Q1 Quarterly Business Report Briefing on Investment in Greater Birmingham.