UK Economy Shrinks for Second Straight Month

In what analysts are calling a blow for Chancellor Rachel Reeves, the UK economy has shrunk for the second month running.

The UK’s Office of National Statistics says UK GDP contracted by 0.1 per cent in May, a weaker performance than the 0.1 per cent growth expected.

The fall follows a 0.3 per cent drop in gross domestic product in April.

May’s contraction was driven by a slump in industrial production, and construction work, with modest growth in the services sector.