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UK economy shrinks unexpectedly in blow to Rachel Reeves (www.theguardian.com)

submitted 3 weeks ago by geneva_convenience@lemmy.ml to c/uk_politics@feddit.uk

7 comments fedilink hide all child comments

The UK economy contracted by 0.1% in January, dealing a blow to Rachel Reeves before the spring statement later this month.

In a surprise to City economists, who expected 0.1% growth in January, the Office for National Statistics data showed the services sector failed to offset a decline in the industrial sector and maintain growth from the previous month.

Manufacturing output fell by 1.1% in January 2025, reversing a spurt of 0.7% in December last year. Construction was another drag on the economy after poor winter weather held back housebuilders.

The ONS said GDP was estimated to have grown by 0.2% in the three months to January 2025, compared with the three months to October 2024, as a result of the growth in the services sector.

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[–] blackn1ght@feddit.uk 14 points 3 weeks ago (1 children)

I feel like every month there's a "UK economy unexpectedly (shrunk|grew) by 0.1% in ${previousMonth}" article.

[–] theo@lemmy.world 3 points 3 weeks ago

Always followed by "${currentChancellor} (under pressure|glad) as the economy...", in the first sentence or somehow incorporated into the headline depending on the bias of the publication.

[–] sunzu2@thebrainbin.org 5 points 3 weeks ago

Gutting of the UK middle class happened faster than what US owners were able to pull off.

It seems these parasites get off on pushing people into poverty

[–] theskyisfalling@lemmy.dbzer0.com 4 points 3 weeks ago (1 children)

Poor winter weather? I dunno about the country as a whole but it has been milder and drier this winter where I am than I can remember, just very windy at points.

Did they need more rain or frost to help complete their shitty housing projects?

[–] Schal330@lemmy.world 5 points 3 weeks ago

You need the right conditions to build shitty housing.

Too wet? Can't build. Too cold? Can't build. Too hot? Can't build. Clear blue sky, with temperatures around 19c with a nice cool breeze? Well you can't build on a day like that, you have to enjoy the weather down the pub.

[–] NKBTN@feddit.uk 4 points 3 weeks ago (1 children)

"The economy didn't grow? Ok, let's give some more money to the military industrial complex, that'll fix it"

[–] HumanPenguin@feddit.uk 1 points 3 weeks ago

Actually yep.

Its no fun but there is a reason war is seen as profitable. It create jobs and spreads money.

Of course it dose nothing to change the % of that money distributed to the lower classs. But lets be honest that has little effext on how we measure the economy atm.