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LONDON DAILY ARCHIVE

UK Economy Expands by 0.1% in August, Defying Slowdown Fears

Modest growth driven by service sector activity and steady consumer spending.

17 October 2025 · 06:35 UTC

The British economy grew by 0.1% in August, signaling a modest but positive rebound amid ongoing inflationary pressures.

Analysts attribute the growth to a strong performance in services and retail spending, offsetting weakness in manufacturing and construction.

Economists say the figures suggest the U.K. remains on a fragile path to recovery as policymakers weigh future interest rate moves.