UK gross domestic product grew in the month of May after a decline in April, but the pace of expansion is widely expected to slow in the coming months as the new Brexit deadline looms and the global economy cools. GDP rose 0.3 percent month-on-month in May following a 0.4 percent decline in April, figures from the Office for National Statistics showed on Wednesday. The expansion was in line with economists' expectations. In March, GDP edged up 0.1 percent. However, the rolling three-month growth slowed to 0.3 percent in the quarter to May from 0.4 percent in the three months to April. Economists had forecast 0.1 percent expansion. In the January to March period, the growth was 0.5 percent.
Elsewhere on Wednesday, the National Institute for Economic and Social Research predicted that the UK economy shrunk in the second quarter, but is set to grow in the three months to September, thus "narrowly" avoiding a recession. The think tank said the economy is on the course to contract 0.1 percent in the second quarter, but likely to expand 0.2 percent in the third quarter. The NIESR has forecast 1.4 percent growth for this year, but stressed that the risks were tilted to the downside because of economic and political uncertainties related to Brexit negotiations. "The latest ONS data and recent surveys suggest that the economy has lost considerable momentum since the first quarter," NIESR economist Janine Boshoff said.
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April 24, 2026 15:15 ET Economics news flow was relatively light this week even as the conflict in the Middle East continued, raising concerns for policymakers. In the U.S., spending data, initial jobless claims and pending home sales were the highlights. Business confidence in the biggest euro area economy was in focus in Europe. Inflation data from Japan gained attention in Asia.