UK Economy Surges Amidst Global Challenges
Britain's economy showed unexpected growth in March 2025, driven by the services sector and business investment. The GDP rose by 0.2% in March and 0.7% for the first quarter, outperforming economist forecasts. Despite optimism, the Bank of England predicts temporary growth.
The UK economy recorded a surprising uptick in March, contributing to a robust start for 2025, data from Thursday reveals. This positive development is likely to be a point of pride for finance minister Rachel Reeves.
The gross domestic product (GDP) rose by 0.2% in March from February, surpassing expectations of a flat reading. From January to March, the GDP increased by 0.7%, outdoing the 0.6% growth predicted by a Reuters poll and anticipated by the Bank of England.
The ONS attributed the growth mainly to the services sector, while production and business investment also saw notable improvements. Despite these gains, the Bank of England forecasts that this growth may be short-lived with only a modest expansion expected in the coming years.
(With inputs from agencies.)
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