UK economy shrank at end of 2012

The Office for National Statistics (ONS) has announced that the UK economy shrank in the last three months of 2012.

Joe Grice from the ONS said that for the whole year, growth was flat, adding that the "bumpy economy" was on a "sluggish trend".

Manufacturing fell by 1.5% in the quarter, the services sector was flat, but construction output rose by 0.3%.

This is the first estimate of how the economy performed in the fourth quarter, and is subject to two further revisions.