Britain's industrial output increased only by 0.5 percent in the last quarter of 2013 compared with the previous quarter, indicating a low productivity in the country, according to figures released by the Office for National Statistics (ONS) on Friday.
In December, total industrial production output increased 1.8 percent year on year, the ONS said. In breakdown, manufacturing rose by 1.5 percent in December compared with the same period of 2012; mining and quarrying went up 2.6 percent; water supply, sewerage and waste management up 7.9 percent; but electricity, gas, steam and air conditioning fell 3.0 percent.
However, the ONS held that the weak growth of industrial production would not enough to change the estimate of GDP growth of 0.7 percent for the last quarter of 2013.
"Three out of the four of the main industrial groupings experienced growth in output, with the construction industry contracting," the ONS said.
"The services industries continued to be the main contributor to growth, with output in the latest quarter rising above the pre-downturn peak reached in Q1 2008 by 1.3 percent. By contrast, output in both the production and construction industries remained more than 10 percent below their respective pre-downturn peaks."
It said broader economic conditions remain difficult in Britain despite signs of improvement in economy.
The rate of Britain's Consumer Price Inflation (CPI) continues to exceed growth in total average weekly earnings, therefore placing downward pressure on real wages.
Meanwhile, the rate of Producer Price Inflation (PPI) of goods produced by British manufacturers, also called "factory gate prices", rose by 1.0 percent in 2013, and input prices for all manufactured goods fell by 1.2 percent over the same period, showed the ONS figures.
However, the weaker-than-expected figures on industrial production have posed challenges to Britain's economy, which has been on the upturn trend for several quarters.
The National Institute of Economic and Social Research (NIESR), a leading economic research body, warned that low productivity would continue to pose a challenge for the economic outlook as it limits wage growth.
It predicted British economy would grow 2.5 percent in 2014 and 2.1 percent next year, after it achieved a 1.9-percent expansion last year, the fastest since 2007./.