GDP growth stalls as economic challenges mount

Martin Beck, Chief Economist | Economic Consulting and Analysis

The UK economy grew by just 0.1% in Q4 2025, reflecting ongoing consumer caution and falling business investment. With rising energy prices and geopolitical uncertainty, the near-term outlook is grim, with the potential for stagnation or negative growth in 2026.

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February inflation holds at 3%, but energy shock clouds the outlook