The British economy contracted by 0.2% year-on-year in the fourth quarter of 2023, marking its first period of shrinkage since the 2020-21 recession, primarily driven by high inflation, soaring borrowing costs, and sluggish external demand. Notably, net trade exerted downward pressure on GDP, with exports plunging by 7.6% for a second consecutive quarter of decline, while imports fell by 1.5%, marking the fourth consecutive quarter of decrease. Meanwhile, household consumption saw a slight increase of 0.3% (vs 0.2% in Q3), and fixed investment grew by 0.5% (vs 0.1% in Q3), bolstered by a notable 2.8% surge in business investment. Furthermore, government consumption growth accelerated to 2.5% from 1.9%. Looking at the full year of 2023, the economy expanded by a meager 0.1%. This followed a robust growth rate of 4.3% in 2022, marking the weakest annual growth since the 2009 financial crisis, excluding the pandemic-hit year of 2020. source: Office for National Statistics
The Gross Domestic Product (GDP) in the United Kingdom contracted 0.20 percent in the fourth quarter of 2023 over the same quarter of the previous year. GDP Annual Growth Rate in the United Kingdom averaged 2.34 percent from 1956 until 2023, reaching an all time high of 25.70 percent in the second quarter of 2021 and a record low of -21.90 percent in the second quarter of 2020. This page provides the latest reported value for - United Kingdom GDP Annual Growth Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. United Kingdom GDP Annual Growth Rate - data, historical chart, forecasts and calendar of releases - was last updated on March of 2024.
The Gross Domestic Product (GDP) in the United Kingdom contracted 0.20 percent in the fourth quarter of 2023 over the same quarter of the previous year. GDP Annual Growth Rate in the United Kingdom is expected to be 0.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the United Kingdom GDP Annual Growth Rate is projected to trend around 2.00 percent in 2025 and 1.90 percent in 2026, according to our econometric models.