Back in Recession

 ONS has published the GDP estimate for the first quarter of 202. The key points make for grim reading:

• The chained volume measure of GDP decreased by 0.2 per cent in Q1 2012
• Output of the production industries decreased by 0.4 per cent in Q1 2012, following a decrease of 1.3 per cent in the previous quarter
• Construction sector output decreased by 3.0 per cent in Q1 2012, following a decrease of 0.2 per cent in the previous quarter
• Output of the service industries increased by 0.1 per cent in Q1 2012, following a decrease of 0.1 per cent in the previous quarter
• GDP in volume terms is flat in Q1 2012, when compared with Q1 2011

Given that the last quarter's figures showed a reduction in GDP we are officially back in recession. Whatever the cause, it is not good news for the government as a tiny rise in GDP had been predicted.

On the other hand don't worry. Corporal Jones, sorry, Nick Clegg is saying Don't Panic!

Well that's me reassured!