Commenting on this morning’s UK GDP data, Melanie Baker, senior economist at Royal London Asset Management said:
“Although Q3 GDP growth may have undershot expectations, September data suggests that the pace of growth picked up as the quarter progressed. GP appointments were partly behind the pick up in growth in September, but this is not a sustained source for economy growth.
“Evidence of a drag from supply chain problems were a particular concern, with limited prospect of these problems substantially easing in the near-term, and supply chain disruption adding inflationary pressure too.
“Business surveys indicate that Q4 activity growth in the UK is off to a good start, but challenges ahead include higher inflation, continued supply chain problems, less supportive fiscal policy and a likely Bank of England rate rise in coming months.”
About Royal London Asset Management (RLAM):
Established in 1988, Royal London Asset Management (RLAM) is one of the UK's leading fund management companies, providing investment management solutions to both wholesale and institutional clients such as not-for-profit organisations, local authorities and the insurance sector.
RLAM manages £164 billion of assets and employs 129 investment professionals as at 31 December 2021. It invests in all major asset classes including UK and overseas equities, government bonds, investment grade and high yield corporate bonds, property and cash.
For professional clients only, not suitable for retail investors.
Issued by Royal London Asset Management Limited, registered in England and Wales number 2244297; authorised and regulated by the Financial Conduct Authority. Registered Office: 55 Gracechurch Street, London, EC3V 0RL.
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