UK economy in October suffers first back-to-back declines since 2020

Business and Finance Business and Finance

Fri, December 13, 2024

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UK economy in October suffers first back-to-back declines since 2020

^{Published on 2024-12-13 06:20:57 - MSN}

Britain's economy shrank for a second month in a row in October in the run-up to the government's first budget, the first back-to-back falls in output since the onset of the COVID-19 pandemic and a setback for new finance minister Rachel Reeves.

The UK economy experienced its first consecutive monthly declines since the onset of the global health crisis in 2020, with a 0.3% contraction in October following a 0.2% drop in September. This downturn was influenced by several factors including a significant decrease in services output by 0.2%, particularly in information and communication sectors, and a 0.6% fall in industrial production. Notably, manufacturing saw a 1.1% decline, while construction output decreased by 0.5%. Despite these setbacks, there were some positive developments; the services sector saw growth in health, education, and transport sectors, and consumer-facing services increased by 0.1%. However, the overall economic performance has raised concerns about the possibility of a recession, especially with the upcoming GDP figures for the last quarter of 2023.

Read the Full MSN Article at:
[ https://www.msn.com/en-gb/money/economy/uk-economy-in-october-suffers-first-back-to-back-declines-since-2020/ar-AA1vNwBL ]

N@N

UK economy in October suffers first back-to-back declines since 2020