UK markets close in 1 hour 29 minutes
  • FTSE 100

    7,587.00
    +75.00 (+1.00%)
     
  • FTSE 250

    19,213.14
    +26.98 (+0.14%)
     
  • AIM

    847.32
    +3.10 (+0.37%)
     
  • GBP/EUR

    1.1551
    -0.0016 (-0.14%)
     
  • GBP/USD

    1.1994
    +0.0044 (+0.37%)
     
  • BTC-GBP

    14,036.68
    +319.33 (+2.33%)
     
  • CMC Crypto 200

    400.06
    -0.63 (-0.16%)
     
  • S&P 500

    3,947.06
    -10.57 (-0.27%)
     
  • DOW

    33,724.52
    -128.01 (-0.38%)
     
  • CRUDE OIL

    80.57
    +2.37 (+3.03%)
     
  • GOLD FUTURES

    1,768.60
    +4.90 (+0.28%)
     
  • NIKKEI 225

    27,968.99
    -58.85 (-0.21%)
     
  • HANG SENG

    18,597.23
    +392.55 (+2.16%)
     
  • DAX

    14,402.01
    +46.56 (+0.32%)
     
  • CAC 40

    6,727.88
    +58.91 (+0.88%)
     

UK economy forecast to shrink 1.4% in 2023

FILE PHOTO: People shop at a market stalls in east London

LONDON (Reuters) - Britain's economy is forecast to shrink by 1.4% in 2023, finance minister Jeremy Hunt said on Thursday, citing the latest projections from the Office for Budget Responsibility (OBR).

The new forecast for next year compared with a forecast for growth of 1.8% in the OBR's previous outlook published in March.

Since then, Britain's economy has come under strain from an inflation rate now above 11%, a slowing global economy and political and financial market volatility caused by the brief term of Liz Truss as prime minister.

The OBR forecast gross domestic product would grow by 1.3% in 2024 and grow by 2.6% in 2025, Hunt said, compared with the OBR's previous forecasts of growth of 2.1% and 1.8% respectively.

(Reporting by David Milliken; Editing by Kate Holton)