UK economy defies forecasts with 0.3% March growth
UK economy defies forecasts with 0.3% March growth
The UK posts 0.3% growth in March, beating expectations, as Q1 rises 0.6% and front-loaded spending cushions the impact of higher prices.
Britain’s economy grew in March, surprising forecasters with a 0.3% monthly increase. The quarterly figure shows 0.6% growth in the first three months of the year, led by a rebound in retailing and construction. The Office for National Statistics notes that households and businesses pulled forward spending in March in anticipation of higher prices tied to the Iran conflict. Some areas such as car sales and leasing benefited as drivers stock up on vehicles and fuel as costs rise. Analysts say the front loading may ease in the coming months, which could temper the strength seen in March. Forecasters warn that energy and petrol prices are likely to stay higher, which would squeeze disposable incomes and dampen demand over the rest of the year.
