The UK's GDP grew by 0.4% quarter-on-quarter in the second quarter, fully in line with expectations and a slowdown from the 0.6% growth in the first quarter. However, the overall data remains strong: year-on-year growth of 1.2% exceeded the expected 1.1%, and June's GDP grew by 0.3% month-on-month, significantly better than the expected zero growth.
More noteworthy is the internal structure. The service sector grew by 0.4% month-on-month in June, and business investment grew by 1.7% in the second quarter, far exceeding the expected decline of 0.5%, indicating that the UK economy's service consumption and business investment remain resilient. The main drag came from manufacturing and industry, which declined by 0.5% and 0.2% respectively in June, both weaker than expected.
Previously, UK growth was mainly contributed by the service sector, so the current situation is more like "strong services, weak manufacturing" rather than a comprehensive economic acceleration.
