The UK economy rebounded by much more than expected from its coronavirus-related lull in late 2021, raising the likelihood of an interest rate hike next week.
The Office for National Statistics (ONS) said gross domestic product grew by 0.8 per cent month-on-month in January after a 0.2% decline in December when the Omicron wave of coronavirus held back growth. This was the strongest monthly expansion since June and more than forecast by economists who on average were predicitng a 0.2% uptick.
All main sectors of the economy grew more than expected, with the wholesale and retail sector as well as pubs and restaurants being particular drivers, the ONS said. Growth looked likely to have continued into February, but economists warned of tougher times ahead.
"The cost of living crisis and the influence of the war in Ukraine probably means this is as good as it gets for the year," said Paul Dales, chief UK economist at Capital Economics.
The size of the British economy in January was 0.8% larger than its pre-pandemic level in February 2020 but remained about 4% smaller than if it had continued growing at its trend rate for the last decade.
Scottish online pharmacy specialist signals expansion plans
Pharmacy specialist Simple Online Healthcare has made two high-profile appointments as it looks to further expand its operations.
The Glasgow-based company has brought former Skyscanner executives Shane Corstorphine and Jules Pancholi on board as non-executive directors following a 50 per cent surge in revenues to £14.5 million during the year to February 28. The business, founded by Addy Mohammed and Karim Nassar in 2015, is said to be on track for revenues in excess of £20m in the current year.
New 'Square Go' to support young entrepreneurs
Young Enterprise Scotland has secured more than £95,000 of funding to build a new community business start-up space at its headquarters in Rouken Glen.
Built on the lines of a village square, Square Go is YE Scotland’s flagship project for 2022 as it marks 30 years since it was formally established in 1992. Bridging the gap between idea development and starting up, Square Go will provide free collaborative spaces and access to business resources to support young people between the ages of 16 and 30 who are looking to build their own business ventures.
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