UK growth rises 0.7 per cent, but private investment remains weak

The opinion article says Britain’s reported 0.7 per cent economic growth from July to September should not be treated as evidence of a lasting recovery. It argues that the increase relied heavily on public spending and investment in AI, while businesses and households remain under pressure.

Public sector investment rose by almost 14 per cent in the quarter, compared with 0.4 per cent growth in business investment. The article points to rising prices, higher energy bills expected from January and possible interest rate increases as risks to future growth, and criticises the Government’s economic and welfare policies. It also discusses a forthcoming review of youth unemployment and the Prime Minister’s brief appearance at the COP31 summit.