Organization: The economic situation in the UK has shown slight improvement.

date
22/12/2025
Macro economist Alex Kerr of Capital Economics pointed out that despite data showing that the UK's GDP in the third quarter only grew by 0.1% compared to the previous quarter, the economic situation seems slightly healthier than expected. Business investment data has been significantly revised upwards, from an initially reported 0.3% decrease to a 1.5% increase; at the same time, while actual household income has decreased, consumer spending willingness has increased. Household consumption expenditure growth rate has also been revised upwards, with the household savings rate decreasing from 10.2% in the second quarter to 9.5% in the third quarter, the lowest level in over a year. However, these data are lagging indicators and do not change the overall picture of GDP growth slowing down in the second half of 2025. In the past seven months, the UK economy has only seen growth in two of those months.