UK just avoids recession as 'flatlining' economy raises concerns

GDP fell by 0.5% in December after a turbulent year in 2022

Eve Maddock-Jones
clock • 2 min read

The UK narrowly avoided a recession in the last quarter of 2022, despite GDP contracting by 0.5% in December.

Averaging out across the final three months of the year, the Office for National Statistics (ONS) found that output was flat and saw zero growth. A technical recession is generally defined as two consecutive quarters of negative growth, and if there had been negative overall growth in Q4 this would have signalled a recession, as the economy shrank by 0.3% in Q3. In reaction to the news, chancellor Jeremy Hunt said: "The fact the UK was the fastest growing economy in the G7 last year, as well as avoiding a recession, shows our economy is more resilient than many feared. "However, we...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Markets

Market Movers: Rises in US and UK bond yields since January

Market Movers: Rises in US and UK bond yields since January

Market expectations shift according to Hargreaves Lansdown

Professional Adviser
clock 11 April 2024 • 1 min read
Market impact concerns ahead of US and UK elections divide industry

Market impact concerns ahead of US and UK elections divide industry

‘We need someone with a bit of something about them’

Isabel Baxter
clock 02 February 2024 • 3 min read
0.3% GDP growth fails to alleviate 'precarious' economic situation

0.3% GDP growth fails to alleviate 'precarious' economic situation

'An appropriately diversified portfolio is the best approach'

Hope Coumbe
clock 12 January 2024 • 2 min read