UK economy out of double-dip recession, says NIESR

The NIESR indicated that the level of growth is unlikely to reach pre-recession levels until 2014

The UK economy has grown at its fastest pace for five years in Q3 of 2012, bringing to an end the double-dip recession, according to the National Institute of Economic and Social Research (NIESR).

“Unless output turns down again, the recession is over,” the NIESR said.

The economy is estimated to have grown by 0.8% in the quarter up to the end of September. However the think tank indicated that the rate of growth is likely to have been weaker, at 0.2% or 0.3%, as the headline figure is takes into account ticket sales at the Games which aren’t accounted for in official figures until the event takes place.

Other factors in the growth included the fact that Q2’s figures were hampered by the extra bank holiday to celebrate the Queen’s Jubilee.

The economy had shrunk in each of the last three quarters, as the return to growth is likely to please the government and boost confidence across the board.