Growth – GDP increase of 0.8%

Gross Domestic Product Preliminary Estimate, Q2 2014: ONS

  • GDP increased by 0.8% in Q2 2014, the second consecutive quarter on quarter increase of 0.8%.
  • Output increased in two of the four main industrial groupings within the economy in Q2 2014 compared with Q1 2014. In order of their contribution, output increased by 1.0% in services and by 0.4% in production. However, output decreased by 0.5% in construction and by 0.2% in agriculture.
  • In Q2 2014 GDP was estimated to be 0.2% above the peak in Q1 2008. From peak to trough in 2009, the economy shrank by 7.2%.
  • GDP was 3.1% higher in Q2 2014 compared with the same quarter a year ago.

Retail Sales increase

Retail Sales, June 2014: ONS

  • In June 2014, the quantity bought in the retail industry increased by 3.6% compared with June 2013 and by 0.1% compared with May 2014. The quantity bought also increased in Q2 2014 compared with Q2 2013, by 4.5%.
  • The three-month on previous three-month movement in the quantity bought showed continued growth for the sixteenth consecutive period increasing by 1.6%. This is the highest calendar quarter since March 2004 (1.9%) and has been the longest period of sustained growth since November 2007.
  • Following a four month period of disinflation, the average prices of goods sold in June 2014 showed no change compared with June 2013 after a fall of 0.7% in May 2014.
  • In June 2014, the amount spent in the retail industry increased by 3.5% compared with June 2013 and by 0.8% compared with May 2014. Non-seasonally adjusted data show that the average weekly spend in the retail industry in June 2014 was £7.1 billion compared with £6.8 billion in June 2013 and £6.9 billion in May 2014.
  • The amount spent online increased by 13.4% in June 2014 compared with June 2013 and decreased by 0.1% compared with May 2014. Month-on-month this is the first time since January 2014 we have seen a decrease (2.1%).

Inequality in Healthy Life Expectancy

Inequality in Healthy Life Expectancy at Birth by National Deciles of Area Deprivation, England 2010-12:

  • Males in the most deprived areas have a life expectancy 9.1 years shorter (when measured by the range) than males in the least deprived areas; they also spend a smaller proportion of their shorter lives in ‘Good’ health (70.8% compared to 85.0%).
  • Females in the most deprived areas have a life expectancy 6.8 years shorter (when measured by the range) than females in the least deprived areas; they also expect to spend 17.2% less of their life in ‘Good’ health (66.1% compared to 83.2%).
  • Males in the most advantaged areas can expect to live 19.4 years longer in ‘Good’ health than those in the least advantaged areas as measured by the Slope Index of Inequality (SII). For females this was 19.8 years.

Unemployment falling

Labour Market Statistics, July 2014: ONS

  • For March to May 2014, there were 2.12 million unemployed people, 121,000 fewer than for December 2013 to February 2014 and 383,000 fewer than a year earlier.
  • The unemployment rate continued to fall, reaching 6.5% for March to May 2014, the lowest since October to December 2008.
  • For March to May 2014, there were 8.78 million economically inactive people (those out of work but not seeking or available to work) aged from 16 to 64. This was 67,000 fewer than for December 2013 to February 2014 and 258,000 fewer than a year earlier.
  • The proportion of people aged from 16 to 64 who were out of work but not seeking or available to work continued to fall, reaching 21.7% for March to May 2014. The economic inactivity rate last reached 21.7% in July to September 1990 and, since records began in 1971, it has never been lower.
  • For March to May 2014, there were 30.64 million people in work, 254,000 more than for December 2013 to February 2014 and 929,000 more than a year earlier.

Inflation rises

Consumer Price Inflation, June 2014: ONS

  • The Consumer Prices Index (CPI) grew by 1.9% in the year to June 2014, up from 1.5% in May.
  • The largest contributions to the rise in the rate came from the clothing, food & non-alcoholic drinks and air transport sectors. There were no large downward effects to offset the change.
  • RPIJ grew by 2.0%, up from 1.7% in May.

European retail trade volumes

European retail trade volumes, May 2014: Eurostat

  • In May 2014 compared with April 2014, the seasonally adjusted volume of retail trade remained stable in the euro area (EA18) and fell by 0.1% in the EU28.
  • In April retail trade decreased by 0.2% in the euro area and rose by 0.2% in the EU28.
  • In May 2014 compared with May 2013 the retail sales index increased by 0.7% in the euro area and by 1.2% in the EU28.

European unemployment rates

European unemployment rates, May 2014: Eurostat

  • The euro area (EA18) seasonally-adjusted unemployment rate was 11.6% in May 2014, stable compared with April 2014, but down from 12.0% in May 2013.
  • The EU28 unemployment rate was 10.3% in May 2014, down from 10.4% in April 2014, and from 10.9% in May 2013.
  • 25.184 million men and women in the EU28, of whom 18.552 million were in the euro area, were unemployed in May 2014.
  • Compared with April 2014, the number of persons unemployed decreased by 63 000 in the EU28 and by 28 000 in the euro area.
  • Compared with May 2013, unemployment fell by 1.361 million in the EU28 and by 636 000 in the euro area.