UK narrowly avoids recession but 'flatlining' economy raises concerns

GDP fell by 0.5% in November

The UK narrowly avoided a recession in the last quarter of 2022, despite GDP contracting by 0.5% in December.

Averaging out across the final three months of the year, the Office for National Statistics found that output was flat and saw zero growth. A technical recession is generally defined as two consecutive quarters of negative growth, and if there had been negative overall growth in Q4 this would have signalled a recession, as the economy shrank by 0.3% in Q3. BoE's Bailey predicts 'powerful downward forces' will rein inflation in In reaction to the news, Chancellor of the Exchequer Jeremy Hunt said: "The fact the UK was the fastest growing economy in the G7 last year, as well as avoid...