Latest data from ONS out today reveals that UK real gross domestic product (GDP) is estimated to have shown no growth in Q3 (July to Sept) 2024.

The figure has been revised down from an initial estimated increase of 0.1%.

The ‘quarterly path’ of real GDP at an aggregate level is unchanged from Q1 (Jan to Mar) 2023 to Q1 2024, however, there have been downward revisions of 0.1 percentage points in Q2 (Apr to June) and Q3 2024.

According to the data, there was no growth in the services sector in the latest quarter, with an 0.7% increase in construction offset by a 0.4% fall in production.

Early estimates suggest that real GDP per head fell by 0.2% in Q3 2024, and is 0.2% lower compared with the same quarter a year ago, ONS said.

Early estimates of real households’ disposable income per head show no growth in Q3, following growth of 1.4% in the previous quarter.  The household savings ratio is estimated at 10.1% in the latest quarter, down from 10.3% in Quarter 2.

ONS director of economic statistics Liz McKeown said the data pointed to a weaker economy over the last two quarters.

She said: “The economy was weaker in the 2nd and 3rd quarters of this year than our initial estimates suggested with bars and restaurants, legal firms and advertising, in particular, performing less well. 

“The household saving ratio fell a little in the latest period, though remains relatively high by historic standards. Meanwhile real household disposable income per head showed no growth.”  

Commenting on the GDP figures today, Chancellor of the Exchequer Rachel Reeves said her challenge now was to “fix” the economy.

She said: "The challenge we face to fix our economy and properly fund our public finances after 15 years of neglect is huge. 

“But this is only fuelling our fire to deliver for working people. The Budget and our Plan for Change will deliver sustainable long-term growth, putting more money in people’s pockets through increased investment and relentless reform.”