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Official data showed year-on-year gross domestic product growth slowed to 1.5 percent in the second quarter from 1.8 percent in the first three months of the year.
Sterling weakened to $1.3382 after the data, matching the day's lows and down from $1.3423 before its release. It also slipped to 88.17 pence per euro.
British government bond prices rose modestly after the data and December gilt futures were up by almost 10 ticks.
Britain's FTSE rose to a session high, up 0.6 percent after the GDP data sent sterling lower, helping the internationally-exposed index.