FX.co ★ Brexit has no major effect on UK economy in Q3

During the third quarter of 2016, the UK service sector, which accounts for economic growth of the whole country, has continued to expand, despite the impact of the Brexit referendum. Thus, according to Financial Times, the referendum results have no major effect on the UK economy.

The Office for National Statistics’ report shows that in the third quarter of 2016 the UK service sector, which provides nearly four-fifths of the UK total output increased by 0.8 percent for the quarter.

In September, the ONS services index grew by 2.9 percent compared to the same month last year. According to preliminary estimates, it encouraged overall growth of UK GDP by 0.5 percent in the third quarter.

Experts note that the growth in the service sector reflects the latest trends, which indicate a limited effect of the UK decision to leave the EU.

As for other business areas, delivery, hotel and restaurant sectors grew by 0.6 percent in September, public services increased by 0.2 percent, while business and finance sector expanded by 0.1 percent.