Britain’s economy unexpectedly shrank by 0.1% in September, while third-quarter growth slowed to a minimal 0.1% from 0.5% in the second quarter, according to the Office for National Statistics. Economists had anticipated slightly stronger growth at 0.2% for the July-September period. Finance Minister Rachel Reeves expressed dissatisfaction with the latest figures, emphasizing her plans to drive economic growth by increasing investment and reform to create jobs, strengthen the NHS, and improve living standards. The Bank of England recently reduced its 2024 growth forecast from 1.25% to 1%, though it expects a stronger economic boost in 2025, partly due to Reeves’ spending initiatives. Prime Minister Keir Starmer aims to achieve a 2.5% annual growth target, a rate Britain has not consistently met since the 2008 financial crisis.
