UK: Recession risk rises as economy shrinks in August

Economy

World / Countries / MNCs

Just Earth News | @justearthnews | 12 Oct 2022, 03:41 am Print

UK Recession

Image: Pixabay

London: Recession fear looms large over the UK as the country's economy shrank in August, media reports said.

The surprise 0.3% drop came as factories and consumer-facing businesses struggled, according to official figures, reports BBC.

Analysts thought the economy would stall in August but not shrink as costs mount for businesses and households.

According to reports, prices of goods are rising at their fastest rate for 40 years.

The Bank of England has previously said that it expects the UK to fall into a recession by the end of the year, reports BBC.

More Economy