Manufacturing's revival has lost some momentum.
While analysts had expected to see production expand for the third consecutive month, new figures from the Office for National Statistics show that it was flat in November.
Rob Wood, chief UK economist at Berenberg, says that the "hard data is not keeping pace with the red hot business surveys, which could pose downside risks to fourth quarter growth."
Production growth for the month before has been revised down to just 0.2 per cent.
Construction is also lower, falling four per cent in November to just £395m. The biggest monthly fall since the middle of 2012.
$GBP down 30 pips after industrial output and manufacturing both flat for Nov. DJH— IGSquawk (@IGSquawk) January 10, 2014
Emily Nicol of Daiwa Capital Markets says that today's data will "provide a clearer guide" to the pace of the UK's recovery in the last quarter.
The BRC’s latest retail sales survey released today showed like-for-like sales up. They're higher compared with a year earlier for the eighth consecutive month in December, albeit at what Nicol says is "a slightly softer, but still respectable, pace" of 0.4 per cent.