Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

UK economy contracts again in October, defying hopes of a rebound

by December 13, 2024
December 13, 2024
UK economy contracts again in October, defying hopes of a rebound

The UK economy unexpectedly shrank by 0.1 per cent in October, marking its second consecutive monthly decline, according to official data from the Office for National Statistics (ONS).

Economists had predicted a return to modest growth following September’s fall, but uncertainty ahead of the October Budget and persistently high interest rates kept both consumers and businesses from spending freely.

The ONS noted a particularly weak month for pubs, restaurants, and retailers, while some professional services sectors such as real estate, legal, and accountancy firms brought forward work ahead of the Chancellor’s Budget announcement.

Chancellor Rachel Reeves described the figures as “disappointing” but maintained that policies are in place to deliver long-term growth. Shadow Chancellor Mel Stride argued the latest numbers reveal the negative impact of the government’s decisions and pessimistic economic messaging.

Economists also highlighted that the drag on growth may not be solely due to the Budget’s effects. Paul Dales, chief UK economist at Capital Economics, said higher interest rates may be weighing on activity more than anticipated. Although the Bank of England has cut rates twice this year, they remain elevated compared to previous years, further discouraging spending and investment.

Over the past five months, the economy has grown only once, and it now sits 0.1 per cent lower than before Labour took office in July. Despite the weak October figure, some experts, including Simon Wells from HSBC, cautioned against reading too much into a single month’s data, as initial estimates are often subject to revision.

In the three months to October, the economy still managed a slight expansion of 0.1 per cent, offering a glimmer of hope even as near-term prospects remain uncertain.

Read more:
UK economy contracts again in October, defying hopes of a rebound

0
FacebookTwitterGoogle +Pinterest
previous post
Tangle Teezer, once rejected on Dragons’ Den, sold for €200m to Bic
next post
Top GOP rebel angles for powerful House leadership-backed committee post

You may also like

Christmas parties cancelled because of rail strikes

December 7, 2022

Boxing Day splurge forecast at £4.6bn despite cost-of-living...

December 26, 2024

Scottish Power owner Iberdrola commits £24bn to upgrade...

October 12, 2024

Ocado launches refillable packaging trial for everyday products

August 8, 2024

Microsoft’s $69bn deal to buy Activision Blizzard given...

October 13, 2023

Elon Musk’s Starlink set to transform rural UK...

December 16, 2024

UK injects record $2bn into Green Climate Fund

September 11, 2023

Uncover Egypt Mysteries: Educational Opportunities on the Nile

July 26, 2024

McLaren receives £30m boost from Bahraini owners

February 5, 2024

Recession uncertainty tames UK business confidence upward movement

June 2, 2023

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Call with China’s Xi, and Trump-Musk exchange fueled barbs during 20th week in office

      June 7, 2025
    • Trump’s conservative allies warn Congress faces critical ‘test’ with $9.4B spending cut proposal

      June 7, 2025
    • Tech ETFs are Leading Since April, but Another Group is Leading YTD

      June 7, 2025
    • TIMELINE: Inside the evolving relationship between Trump and Musk from first term to this week’s fallout

      June 7, 2025
    • Deadly drone wars are already here and the US is horribly unprepared

      June 7, 2025
    • Week Ahead: NIFTY’s Behavior Against This Level Crucial As The Index Looks At Potential Resumption Of An Upmove

      June 7, 2025

    Categories

    • Business (8,152)
    • Investing (2,019)
    • Politics (15,564)
    • Stocks (3,136)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved