The waste sector is bucking the national trend for falling output according to official figures.
While a worse than expected contraction in manufacturing output led to fears that any economic recovery could be short lived, the waste management industry showed growth.
Figures from the Office for National Statistics showed overall production output fell 0.5% between July and August 2012, reversing a 2.9% rise in July. Year-on-year national production fell 1.2%.
However, the water and waste sectors grew 0.9% month-on-month, with the largest contributor a 1.6% growth in waste collection, treatment and disposal. Waste management also showed a 4% annual growth.
Remediation and other waste services grew 2.1% year-on-year.
Output in the energy sector fell 1.7% compared with August 2011 and fell 0.6% between July and August 2012.
Samuel Tombs, UK economist at Capital Economics, told PA the figures suggested the underlying trend in gross domestic product (GDP) is “flat at best and therefore undermine hopes that the green shoots of economic recovery are emerging”.