UK economic growth slows to 0.5 percent in July-Sept, from 0.7 percent in previous quarter

LONDON – Britain's economy slowed in the July-September period amid broader concerns over the global economy.

The Office of National Statistics said Tuesday the economy grew 0.5 percent compared with the previous quarter, when growth was 0.7 percent. The rate was below expectations of 0.6 percent.

There were increases in output in services, production and agriculture, but construction lagged, slumping by 2.2 percent.

Chris Williamson of Markit said the slowdown and "warning lights" from recent business surveys will prompt the central bank to think twice about the possibility of raising interest rates by year's end.

He said: "There are signs that companies are becoming more risk averse as global growth worries intensify, pulling back on their hiring, investment and spending intentions, which could lead to the slowdown becoming deeper and more entrenched."