UK’s economy bounced back from the Omicron variant at a faster rate than expected during January, as consumers returned to eating and drinking out in restaurants and pubs.
Source: Office for National Statistics
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All sectors of the economy returned to growth, helping to bolster gross domestic product by 0.8% in January from the prior month, driven by a surge in consumer-facing services.
GDP was projected to be at 0.8% above its pre-pandemic level, signaling a weaker impact on the economy than anticipated after the emergence of the Omicron variant.
The main driver of growth in January was wholesale trade, expanding by 3.8% amid a recovery after weakness in December due to the impact of the Omicron variant.
Activity in IT services like consultancy and computer programming rose strongly in the month. Activity in the food and drink sector increased by 6.8%, after a decline of 8.1% in December.