The skyline of the City of London on 10 June 2024 in London, United Kingdom. The City of London is a city, ceremonial district and local government district containing the main central business district of London. The City of London is widely known as the City and is also colloquially known as the Square Mile.
Mike Kemp | Pictured | Getty Images
LONDON — Preliminary figures released by the Office for National Statistics on Thursday showed the British economy grew by 0.4% in May, while the pound jumped to a four-month high against the US dollar following the announcement.
Gross domestic product beat forecasts for monthly growth of 0.2%, according to a Reuters poll of economists.
The UK economy emerged from a mild recession in the first quarter of the year, after which flat in April.
The country’s main services sector continued to grow by 0.3% in May, as output in both manufacturing and construction recovered from losses, rising by 0.2% and 1.9% respectively.
The pound rose 0.05% against the U.S. dollar to $1.2859 at 7:17 a.m. in London — the British currency’s highest since March 8, 2024, according to LSEG data.
A broad-based recovery would be welcomed by New Labor Party electedas Prime Minister Keir Starmer begins his first week in office.
Goldman Sachs last week upgrade its growth forecast for the UK following the landslide victory of the left-wing Labour Party in the country’s general election. The party campaigned on a platform focused on promote economic growth, housing and planning.
The party’s large parliamentary majority and business-friendly message have led analysts to describe the government as generally favors British assets.
This is the latest news and will be updated soon.
