The UK’s economy unexpectedly contracted in March due to high inflation and faltering growth, increasing the country’s odds of slipping into recession much faster than anticipated.
Figures from the Office for National Statistics (ONS) showed the economy contracted by .1% in March. For the quarter, growth printed below expectations at 0.8%. Economists widely expected 1% growth for the quarter, but some feared a recession could be just ahead after the miss. Now economists are wondering how deep will the downturn be.
“Suddenly, our forecasts that GDP will be flat in both the second quarter and the third quarter seem pretty optimistic.
“A contraction in GDP or a recession now feels a bit more likely,” Paul Dales, the chief UK economist at the consultancy Capital Economics, told The Guardian.
UK’s monthly GDP growth is slipping into the abyss.
In March alone,
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