UK economy returns to growth in May
BBC News 2026-07-16 06:35:24
Context: The UK economy experienced a return to growth in May, with an expansion of 0.1%, as reported by the Office for National Statistics (ONS). This growth was primarily driven by the service sector, although production and construction sectors saw declines. The economy had contracted slightly in April due to the impact of the US-Israel war with Iran on businesses.
Key Facts
- The UK economy expanded by 0.1% in May, according to the Office for National Statistics (ONS), driven by growth in the service sector.
- The ONS reported that the economy grew by 0.7% in the three months to May compared with the previous three-month period.
- Yael Selfin, chief economist at KPMG, attributed the growth in May partly to warmer weather, which boosted consumer spending and is likely to have continued into June and July.
- Liz McKeown, director of economic statistics at the ONS, noted that the economy recorded robust growth in the three months to May, but the pace eased slightly in the latest two months.
- A spokesperson for the Treasury stated that the UK has "the right economic plan" which has put the country in a stronger position than two years ago, with the fastest growth in the G7 in the first quarter.