Somerset Chamber

Talk to the team 01823 444924


Tell us your business news

Learn more


Chamber news

Latest ONS figures highlight economic slowdown

The UK’s economic growth slowed in February following a sharp fall in the production of cars and computer goods.

The Office for National Statistics (ONS) said the economy expanded by 0.1% compared with 0.8% in January.

The fall in manufacturing was off-set by growth in the services sector including areas such as tourism and travel.

The ONS also said that the UK economy is 1.5% above its pre-coronavirus pandemic level in February 2020.

Suren Thiru, Head of Economics at the British Chambers of Commerce (BCC), said: “While economic output continued to rebound in February, the significant slowdown in growth indicates that the UK economy was losing steam even before the impact of Russia’s invasion of Ukraine. 

“Tourism-related industries and accommodation services recorded the strongest improvements in the month as the end of Plan B restrictions, and reduced concerns over Omicron, supported activity. However, this was mostly offset by a significant drop in NHS Test and Trace services and vaccine activity as well as declines in industrial and construction output.    

“February’s slowdown is likely to be the start of a prolonged period of considerably weaker growth as rising inflation, surging energy bills and higher taxes increasingly damages key drivers of UK output, including consumer spending and business investment.  

“Weakening health sector output following the end of free COVID testing and mass vaccinations, is also set to weigh on UK GDP in the near term.

“The Government must provide urgent financial support, through the expansion of the energy bills rebate scheme, to include small firms and energy intensive businesses and an SME energy price cap to protect smaller firms from some of the price increases.” 

Connect. Influence. Grow.

Join Somerset Chamber of Commerce to give your business a stronger voice both locally, regionally and nationally. Combined with local town chambers, we represent over 2,000 businesses across Somerset with a direct line to policy-makers at all levels.

Discover the benefitsJoin now