The United Kingdom’s economy is facing tough times as it has entered a recession. This means the economy has shrunk for two quarters in a row, according to official data released on Thursday.
The Office for National Statistics (ONS) reported that the Gross Domestic Product (GDP), which measures the total value of goods and services produced in the country, went down by 0.3 per cent in the last quarter of 2023. This followed a 0.1 per cent contraction in the previous three months.
The decline in the economy is a result of various factors, including high inflation and a crisis in the cost of living.
This news comes as a setback for Prime Minister Rishi Sunak, especially with a general election looming this year.
Manufacturing, construction, and wholesale sectors were hit the hardest, leading to an overall downturn in the economy.
Despite this, the ONS mentioned that the economy remained mostly stagnant throughout 2023.
Sunak who leads the Conservative Party, has promised to focus on boosting the economy, placing it as one of his top priorities.
However, with the election approaching and the Conservatives trailing behind the Labour Party in the polls, the news of the recession adds to their challenges.
As voters head to the polls for two by-elections in Wellingborough, central England, and Kingswood in the southwest, the Conservative Party is concerned about losing their previously strong support in these areas.
