Economy contracts again, but interest rate rise still likely
The UK economy contracted 0.5% in July, with part of the drop blamed on poor weather and strikes.
The decline, which was deeper than economists had expected, follows a 0.5% increase in the previous month. Monthly GDP data has continued to yo-yo, with five of the last 11 months showing negative growth.
The rolling three-month average has stayed positive, at 0.2%, but extends the UK economy's sluggish performance in the post-pandemic period.
Despite that, the market is expecting another rise in interest rates when the Bank of E... You can carry on reading TheBusinessDesk.com for free, but you have reached the maximum number of pages an unregistered user can view. To register for an account, click here or login below...
