UK economy grows 0.3% in January, beating forecasts

LONDON, March 10 (Reuters) – Britain’s economic output rose 0.3% month on month in January, more than expected, data showed on Friday, which could bolster investors’ bets that the Bank of England will raise interest rates again this month.

A Reuters poll of economists indicated growth of 0.1%.

The pound rose against the dollar and the euro on data, which showed growth led by the services sector, although largely due to a one-time rebound in the education sector.

The manufacturing and construction sectors have contracted, according to the Office for National Statistics (ONS).

“Faced with serious global challenges, Britain’s economy has proven more resilient than expected, but there is still a long way to go,” said Chancellor of the Exchequer Jeremy Hunt, who is due to present his annual budget on Tuesday. next week.

Although markets reacted favorably to the growth data, the ONS said half of the 0.3% growth rate was in the education sector, reflecting the return of children to school after a “decline significant” in attendance levels in December.

“Over the past three months as a whole, and indeed over the past 12 months, the economy has nevertheless shown zero growth,” said Darren Morgan, director of economic statistics at the ONS.

(Reporting by Andy Bruce; Editing by William James; Editing in Spanish by Tomás Cobos)