UK growth is set to slow by 0.3 percentage points in 2026, according to the Office for Budget Responsibility’s (OBR) economic forecast, before increasing from 2027.
This marked a drop from the 1.4% expected by the UK's fiscal watchdog in December to 1.1% today (3 March) and provides "further evidence of a loosening labour market, and subdued business survey", according to the OBR. However, while delivering her Spring Statement at the dispatch box, Chancellor Rachel Reeves emphasised that the UK's overall growth profile has been upgraded to an average of 1.6% per year from 2027, with the same figure for 2028 and 1.5% in 2029 and 2030. The OBR noted that this current weakness is "cyclical" because there remains more spare capacity in the economy ...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- 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
