THE BBC has been accused of an “extraordinary” bid to spin dismal economic growth figures to benefit Labour.
Official figures released on Thursday estimated that GDP had risen 0.1% between October and December, after forecasts said the economy may have contracted. This follows zero growth in the preceding three months.
The economy expanded by 0.4% in December, a small improvement following a 0.1% rise in November and a 0.1% fall in October, according to estimates from the Office for National Statistics (ONS).
These figures marked a slight improvement on the predictions of most analysts, however make for grim reading for Chancellor Rachel Reeves (below), who has staked her reputation on boosting economic growth.
The BBC ran the story as the top item on its news bulletin this morning.
In full, the broadcaster summarised the story: “The Chancellor Rachel Reeves has said she’s still not satisfied with the level of growth in the economy after figures published this morning showed it performed better than expected in the final three months of last year.
“Economists had suggested GDP would contract slightly but the Office for National Statistics said it grew by 0.1%.”
Pete Wishart, the SNP’s deputy leader in Westminster, said the BBC was “keen to find some good news for the Labour Chancellor”.
He told The National: “It's quite an extraordinary take to suggest anything other than Labour's stewardship of the economy since they have come to power has been an unmitigated disaster. Bills are up, living standards are down and business confidence has evaporated.
“There is absolutely no comfort to be taken from a flatlining economy. The BBC might be keen to find some good news for the Labour Chancellor but the reality is that all indicators show we are heading in the wrong direction.”
Speaking to broadcasters following the figures, the Chancellor said: “The growth numbers have come in higher than many expected, but I’m still not satisfied with the level of growth that our economy is achieving.
“And that’s why I am determined to go further and faster in delivering the economic growth and the improvements in living standards that our country deserves.”
The ONS said growth in services and production drove the growth in December, which was the fastest monthly growth since March last year.
The fourth quarter figures and an upward revision to first quarter output – to 0.8% growth from 0.7% previously – means the economy grew by 0.9% overall in 2024, up from 0.4% growth in 2023.
But experts said the economy was not out of the woods yet, with the Bank last week halving its forecast for growth to just 0.75% for 2025.
Warnings are mounting that moves to hike National Insurance contributions and the minimum wage at last October’s Budget will see businesses raise prices and slash jobs.
The latest data also showed living standards under pressure, with real GDP per head – the volume of goods and services available to the average person, according to the ONS – falling by 0.1% in the last quarter and by 0.1% across 2024 overall.
The BBC was approached for comment.
