News

UK economy shrinks unexpectedly in October

Unlock the Editor’s Digest for free

The UK economy unexpectedly contracted in October, driven by falls in every sector and fuelling concerns that high interest rates could push the country into a downturn.

Gross domestic product fell 0.3 per cent between September and October, data published by the Office for National Statistics showed on Wednesday.

Economists had expected no change in the GDP number, after a 0.2 per cent expansion the previous month.

Services output fell by 0.2 per cent in October, driven by a fall in information and communication, and was the main contributor to the decline in GDP.

Production and construction also fell sharply, by 0.8 per cent and 0.5 per cent respectively.

The data comes ahead of Thursday’s Bank of England decision on monetary policy. The Bank is expected to keep interest rates unchanged at a 15-year high of 5.25 per cent.

This is a developing story.

Articles You May Like

Donald Trump injured in shooting at Pennsylvania rally that leaves two dead
North Carolina rejects county’s $228 million bond request
Primary stays busy with NYC TFA, Cal Regents pricing
The housing market, explained in 6 charts
Biden says Americans must ‘lower the temperature in our politics’