16 Jan 2025The UK economy grew for the first time in three months, driven in part by a boost in trade for pubs and restaurants, according to the Office for National Statistics (ONS). ONS figures showed an expansion 0.1% after the economy shrank in each of the two previous months. But the figure was lower than economists had expected, with declines in manufacturing and business rentals and leasing. Figures showed the services sector drove the marginal growth in November, with pubs, restaurants and IT companies performing well. Ben Jones, Lead Economist at the Confederation of British Industry (CBI), said: 'After a string of disappointing data, it's good to see that growth returned to positive territory in November, though the economy is still only on track for a very modest expansion at best over the final quarter of last year. 'In the wake of the Autumn Budget a mood of caution seems to have settled over UK businesses. Many firms are entering 2025 with a focus on reducing operational expenditure, which is likely to weigh on pay, hiring and investment in the months ahead. 'The government can help shift the UK's economic narrative with more determined focus on measures that could underpin growth. 'Reforming the business rates system, implementing flexibility in the Apprenticeship Levy and supporting people to stay in work through expanding employer occupational health provision would give businesses immediate flex for investment. In the long-term there is a pressing need to develop an effective industrial strategy that supports our whole economy.'