UK economy accelerated over summer but China crisis could hit trade, CBI says

Rate of expansion edges higher for second consecutive month but impact of Asian crisis could spill over into domestic economy, employers' group warns

UK growth picked up pace in the three months to August but the economy faces risks from the knock-on effect of turbulence in China, one of the UK's leading independent employers' organisations has said.

A CBI survey of 754 firms showed the rate of expansion heading higher for the second successive month with expectations for the next three months also buoyant. It said the gap between firms reporting higher output volumes and those saying they were lower was at a positive balance of 31%, up from 20% in the three months to July and the best rate since May. The balance of firms expecting growth in the next three months was unchanged from July at 27%.