Economic Buzz: UK GDP Falls In Q2

12 Aug 2022 , 03:18 PM

The UK economy logged only a marginal contraction in the second quarter despite the challenges posed by the rising interest rates and high inflation that is squeezing real income. Gross domestic product shrank 0.1 percent from the first quarter, when output had advanced 0.8 percent, the Office for National Statistics reported. The Bank of England had projected the economy to enter recession later this year and to contract throughout next year. The bank estimated a quarterly fall of 0.4 percent in the third quarter of 2022. Year-on-year, the economy expanded 2.9 percent in the second quarter. Monthly estimates showed that GDP declined less-than-expected 0.6 percent in June, reversing the revised 0.4 percent expansion in May. Powered by Commodity Insights