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UK growth figure lowered to zero

UK economy - Construction output slumps
UK economy - Construction output slumps

Official figures show that Britain's economy recorded zero growth in the second quarter of 2008 compared with the first three months.

The Office for National Statistics said it had sharply revised down the initial estimate of a 0.2% expansion. The new figure was the weakest since 1992.

Gross domestic product (GDP) grew at an annual rate of 1.4% during the second quarter, down from the previous 1.6% estimate.

The downward revisions to the preliminary estimate were across the board. Britain's services sector grew by just 0.2% in the quarter, its poorest showing since the fourth quarter of 1995.

Manufacturing output fell by 0.8 percent on the quarter, the weakest since the first quarter of 2005. Construction output, which has been hard hit by the housing market slump, fell by 1.1% - also the worst since 2005. Household spending fell 0.1%.