Posted 2/15/2024, 8:09:49 AM
UK Economy Shrinks Again, Meeting Technical Recession Definition Ahead of 2024 Election
- Britain's GDP shrank 0.3% in Q4 2023, after a 0.1% contraction in Q3, meeting the definition of a technical recession
- The Q4 fall was the biggest since Q1 2021 and worse than economist forecasts
- Economic output dropped 0.1% monthly in December after 0.2% growth in November
- The data poses difficulties for PM Sunak ahead of 2024 elections, with business groups calling for action in upcoming budget
- Finance minister said there were "signs the economy is turning a corner" but opposition criticized lack of progress and chronic underinvestment