UK economy is forecast to contract, with experts citing a difficult outlook ahead of the upcoming Budget.

What it means

The article reports that the UK economy is expected to contract in the run-up to the government's Budget, describing the near-term outlook as 'difficult.' This follows official data showing growth of 0.3% in June and 0.4% in July, when unusually warm weather boosted hospitality and services, but the forecast now points to a reversal in the period ahead.

Accuracy & sourcesSourced

The claim is a forward-looking forecast reported by City A.M., a reputable financial outlet, citing a named primary source (likely an official fiscal/economic body such as the OBR or a major bank). The underlying GDP figures are from official statistics, and the forecast appears reliable as reported, but the specific primary source is not confirmed from the available snippet.

How new

This is genuinely new reporting, published within the past day and tied to current UK fiscal events.

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• Evening Standard — first to publish