British Economy Rebounds with Surge in Auto Production

In November, Britain's economy grew by 0.3%, boosted by a significant rise in car production at Jaguar Land Rover following a cyberattack. The unexpected growth came despite concerns over finance minister Rachel Reeves' budget. The services sector also saw increased output, contributing to the positive economic data.

Britain's economy experienced stronger-than-expected growth in November, driven by a notable recovery in car manufacturing at Jaguar Land Rover after a cyberattack disrupted production. Official data revealed a 0.3% expansion in GDP, marking the fastest monthly growth since June, following a decline of 0.1% in October.

The unexpected rise in GDP alleviated some concerns about finance minister Rachel Reeves' upcoming budget statement later in November, which economists feared might impact economic output. Economists had initially predicted only a modest 0.1% growth, but the resurgence in car production exceeded expectations.

Contributing to the month's growth, industrial output rose by 1.1%, with a 25% increase in car production. The services sector also showed resilience, posting a 0.3% growth. Despite these positive signs, some firms remain cautious about investing due to concerns over potential tax implications from the upcoming budget.

(With inputs from agencies.)