Update: UK out of recession as GDP rises 1%

UK GDP rose by 1% in the third quarter of 2012, bringing the UK out of recession with first positive quarter of growth this year and beating analyst forecasts of a 0.6% rise.

The strongest quarterly figure since Q3 2007 was announced by the Office for National Statistics in its first estimate this morning, bringing an end to three successive quarters of contraction. The ONS said production rose by 1.1% on the quarter, and services by 1.3%, but construction continued to weigh with a 2.5% contraction. Ticket sales for the Olympics added a 0.2 percentage point increase to the headline figure. Capital Economics estimated that a reversal of the Q2 "Jubilee effect" - lost output due to extra public holidays - added a further 0.5 percentage points to the Q3 nu...