Archive for July, 2008

UK economy feels the Crunch

Friday, July 25th, 2008

The UK economy grew just 0.2% in the second quarter of the year, as the credit crunch ‘crunched’ the housing market and consumer spending.

The figure is the lowest growth quarter-on-quarter for three years.

It grew 1.6% on the same quarter a year ago, also the weakest growth for three years, and much lower than the 2.3% growth seen in the first quarter.

Economists had expected GDP growth to slip to 0.2%, and some are warning that a recession is likely.