LONDON (Reuters) – Britain’s economy shrank for the first time since 2012 in the second quarter, an unexpectedly severe hangover from a pre-Brexit stockpiling boost in early 2019 and boding poorly as the country prepares to leave the EU on Oct. 31.
Gross domestic product fell at a quarterly rate of 0.2% in the three months to June, below all forecasts in a Reuters poll of economists that had pointed to a flat reading.
Growth - % - % - Quarter - Britain
Year-on-year economic growth slid to 1.2% from 1.8% in the first quarter, Britain’s Office for National Statistics said, its weakest since the start of 2018.
Annual growth in June alone was the weakest since August 2013 at 1.0%.
Prime - Minister - Boris - Johnson - Government
With Prime Minister Boris Johnson’s government committed to leaving the European Union on Oct. 31, regardless of whether he can secure a new transition deal to avoid trade disruption, the outlook for the remainder of 2019 is especially uncertain.
The world economy has also slowed due largely to a trade conflict between the United States and China.
Bank - England - Week - Growth - Pick-up
The Bank of England last week predicted that growth will only stage a limited pick-up to a quarterly rate of 0.3% during the current quarter, and that growth for the year as a whole will drop to 1.3%.
Previous data had already shown a collapse in manufacturing output in...
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