# AI helped the UK defy expectations – but will Britain’s resilience fizzle out?

- URL: https://talkfuse.com/story/ai-helped-the-uk-defy-expectations-but-will-britains-resilience-fizzle-out/
- Published: 2026-11-12T12:37:53+00:00
- Updated: 2026-11-12T13:05:24+00:00
- Original publisher: The Guardian (publisher lean: Left)
- Original article: https://www.theguardian.com/business/2026/nov/12/ai-uk-economy-john-healey
- Topics: AI, Business, Economy, Middle East, Politics, Technology, UK, World

## Key points

- The economy grew 0.7% in the third quarter.
- AI investment helped drive the expansion.
- Higher bills and a tech slowdown threaten growth.

## Summary

The UK economy grew by 0.7% in the third quarter, its fastest expansion in two and a half years, defying forecasts made when John Healey became chancellor in July. The result puts Britain on course to be the G7’s second-fastest-growing economy this year, with AI-related investment and household spending helping to sustain growth.

IT and professional services accounted for about half of the increase in activity, while Deutsche Bank estimates AI-related spending added 0.3 to 0.4 percentage points to GDP growth this year. But the outlook is uncertain: a possible slowdown in technology investment could weaken one source of growth, and household energy bills are expected to rise by about a quarter in January, taking the average annual bill above £2,000. Cooling wage growth, rising inflation and expected interest-rate increases could further weigh on spending and growth.

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.