UK economy closes in on recession
Britain's economy shrank in the second quarter, official data showed on Friday, as it heads towards recession. UK gross domestic product dropped 0.1 percent in the April-June period after a rise of 0.8 percent in the first quarter, the Office for National Statistics said in a statement. The Bank of England expects the economy to fall into recession this year, which would occur should GDP contract also in the third quarter. "With May's growth revised down a little and June showing a notable fall, overall the economy shrank slightly in the second quarter," said ONS director of economic statistics Darren Morgan. "Health was the biggest reason the economy contracted as both the [Covid] test and trace and vaccine programmes were wound down, while many retailers also had a tough quarter." The UK economy slumped 0.6 percent in June, the ONS added. (AFP)