Home Industry Economy Has UK economy entered a recession? Q3 data suggest so UK Finance Minister Jeremy Hunt said the outlook for the economy was not as bad as the updated official figures suggested by Reuters December 22, 2023 Image credit: Reuters Britain’s gross domestic product shrank in the July-to-September period and was flat in the previous three months, according to updated official figures that suggested the economy might now be in a recession. GDP contracted by 0.1 per cent in the third quarter, the Office for National Statistics said on Friday. UK economy remains flat It had previously estimated that the economy showed no change compared with the previous three months and economists polled by Reuters had mostly expected another unchanged reading. The ONS also said economic output in the second quarter was now estimated to have shown no growth, a downwards revision from a previous estimate of 0.2% growth. However, separate data showed retail sales in November jumped by much more than expected, increasing by 1.3 per cent from October. Sterling rose against the dollar and the euro after the data releases. Finance minister Jeremy Hunt, whose Conservative Party is lagging in opinion polls ahead of an expected election next year, said the outlook for the economy was not as bad as the updated official figures suggested. “The medium-term outlook for the UK economy is far more optimistic than these numbers suggest,” Hunt said in a statement. Also read: UK visas: Fees set to rise from October 4, here are the details Tags Economy recession retail growth UK You might also like Key trade deal brings UAE, Mauritius closer together Bahrain notched up 2.45% growth in third quarter of 2023 UAE central bank raises GDP growth outlook to 5.7% in 2024 WATCH: Ranil Wickremesinghe on resurrecting Sri Lanka’s economy