UK economy unexpectedly grows 0.1% in August despite fall in consumer spending

The UK economy has shown more resilience than first feared at the start of the Iran war. Photograph: Andy Rain/EPA

The UK economy unexpectedly continued to grow in August despite a fall in consumer spending before chancellor John Healey’s budget.

Figures from the Office for National Statistics showed gross domestic product (GDP) rose by 0.1% last month, compared with 0.4% growth in July. City economists had forecast the economy would shrink by 0.1%.