Browsing: UK economy

The UK economy unexpectedly shrank in October, raising concerns about growth. Analysts warn this could impact future investments and recovery efforts.

TL;DR – Budget 2025 Latest Chancellor Rachel Reeves is under pressure to address the UK’s economic issues, with potential tax…

Cliff Notes Rachel Reeves must go beyond merely addressing the estimated £22bn public finance black hole or face repeated fiscal…

Cliff Notes – IMF upgrades UK economic growth forecast The IMF has revised its UK economic growth forecast upward to…

Thursday’s headlines see coverage of the government’s plans to ease the pressure on prisons across England and Wales, as a report says prisons will run out of space by November. The government has announced a series of measures which include early release for some offenders as part of the plans to tackle the overcrowding. The government also announced they will build three new prisons – but despite the dire state of the prison system, the plans still might not be enough to tackle the problem.

The UK economy grew unexpectedly in the first three months of 2025 – a major win for the government, especially the chancellor, who’s been under increasing pressure over the state of the economy and the government fiscal plans. The ONS said the growth was driven by the service sector and production. But the joy might be short-lived, the figures mark the period just before the US imposed tariffs.

The UK’s labour market has continued to show signs of strain, with the number of workers on company payrolls falling during the opening months of 2025. According to the Office for National Statistics (ONS), both employment figures and job vacancies have declined, suggesting ongoing softness in the economy.

The Bank of England is expected to cut interest rates on Thursday, likely lowering them from 4.5% to 4.25%. This would be the fourth rate cut since last year’s peak of 5.25%, and the second in 2025, as the Bank aims to stimulate borrowing and ease financial pressure on households and businesses.

The owner of Space NK has initiated a formal sale process, with teasers circulated to prospective bidders amid concerns over the UK Economy.

Economists say Chancellor Rachel Reeves may have to raise taxes in the October Budget.

The UK Economy grew by 0.5% in February, outperforming analyst forecasts of a 0.1% rise, driven by strong manufacturing and service sectors.