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Home Uncategorized

Recession looms as UK economy starts to shrink

johndavid by johndavid
November 11, 2022
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The UK appears to be heading into recession after the latest official figures showed the economy shrank between July and September.

The economy contracted by 0.2% during the three months as soaring prices hit businesses and households.

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A country is in recession when its economy shrinks for two three-month periods in a row. The UK is expected to be in one by the end of the year.

The Bank of England has forecast a “very challenging” two-year recession.

A recession has been widely expected in the UK due to the prices of goods such as food, fuel and energy soaring, which is down to several factors, including the war in Ukraine.

Higher prices for goods has led to many households facing hardship and cutting back on spending, which has started to drag on the economy.

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