• Fri. May 24th, 2024

UK Economy in Recession: GDP Decreases by 0.3% in Fourth Quarter and Only 1% Larger than Late 2019

BySamantha Nguyen

Mar 28, 2024
Reuters: Data confirms UK economy entered recession in the previous year

On Thursday, the British economy was officially confirmed to be in a recession in the latter half of 2023. The Office for National Statistics reported that GDP decreased by 0.1% in the third quarter and 0.3% in the fourth quarter, which matched the preliminary estimates previously reported.

Despite some improvement at the beginning of 2024, with GDP growing by 0.2% in January, and continued growth reported in February and March according to unofficial surveys, recovery from the impact of COVID-19 has been slow. Currently, Britain’s economy is only 1% larger than it was in late 2019, with Germany being the only G7 nation with a worse performance.

The Bank of England has indicated that British inflation is nearing a level where they can begin reducing interest rates. The Bank expects the economy to grow by just 0.25% this year while official budget forecasters are more optimistic, expecting a 0.8% expansion in the economy.

Following this data release, the value of sterling against both U.S dollar and euro remained relatively stable.

By Samantha Nguyen

As a content writer at newsskio.com, I weave words to craft compelling narratives that captivate readers and bring stories to life. With a keen eye for detail and a passion for storytelling, I strive to create engaging and informative content that resonates with our audience. Whether I'm delving into the latest news trends or exploring unique angles on various topics, my goal is to deliver quality content that informs, entertains, and inspires. Join me on this journey as we uncover the news stories that matter most.

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