British GDP rose 0.3 per cent in the three months to March from the three months to February, according to the latest estimates from the National Institute of Economic and Social Research.
GDP rose 0.3 per cent in the three months ending in February compared with the previous three-month period.
"These figures confirm a general impression of economic weakness," the NIESR said in a statement.
"There is little reason to believe that the weakness is predominantly associated with the war in Iraq; instead it reflects weak demand in UK export markets and some recovery in saving by UK households," it added.
NIESR said the data create a strong case for a further interest rate reduction to 3.50 per cent, as early as the coming Thursday's meeting of the Bank of England's Monetary Policy Committee.
"We believe that this change should be made at the next MPC meeting," it said.
AFP
