The Q3 2012 results confirm that improvements in the UK’s economic performance remain inadequate. While we do not agree with the ONS’ gloomy estimation that the UK was in technical recession for three consecutive quarters, it is clear that the economy is stagnant. Though most key Q3 balances are weaker than in Q2, the survey results could still signal a return to positive GDP growth in Q3, as weaker balances may not indicate a contraction in overall economic activity.