GDP figures: Slowing recovery could be difficult news for Conservative and Lib Dem campaigns
The figures show that construction sector fell by 1.6%, production by 0.1 per cent and agriculture by 0.2 per cent.
The service sector, a traditionally strong sector for Britain, grew by 0.5 per cent in the first quarter of 2015.
Overall the economy grew by 0.3 per cent, according to the latest official figures, half the rate of the previous quarter representing a sharp drop.
George Osborne has said that the figures show that Britain’s economy is at a critical moment and that it’s future sucess is “on the ballot paper” next week.
However the downturn less than two weeks before an election will be a concern for the Chancellor who has been campaigning hard on his own economic record in the belief that Labour are weak on the issue.
Lib Dem chief secretary to the treasury Danny Alexander said that the change was due to “volatile construction data” showing a “big dip” but that the underlying figures show “solid progress across the wider economy”.
And Dr Howard Archer of IHS Global Insight said that both David Cameron and Nick Clegg will be concerned about the impact the results could have on their election campaigns.
He said: “Given that the Conservatives and Liberal Democrats are hoping that many undecided voters will ultimately decide to vote for them due to their management of the economy, this marked slowdown in growth is particularly unwelcome news coming just over a week before the general election.”
The TUC is unimpressed saying the figures show that the “slowest recovery in modern history just slowed down again”. They say the results will be reflected in “jobs and living standards”.