The UK economy stagnated in July, recording zero growth, as consumers and businesses faced pressure from higher taxes and tariffs.
According to data released Friday by the Office for National Statistics, gross domestic product (GDP) remained unchanged, as expected, after growing by 0.4% in June.
Businesses are currently under pressure from the payroll and minimum wage tax increases that took effect in April, and consumers are bracing for further tax increases in the budget.
This aligns with the view of Deutsche Bank's chief economist, Sanjay Raja, who explained this week: "After a surprisingly strong second quarter, the UK achieved the fastest growth rate among the G7 economies. All signs point to a slowdown in economic activity in the second half of the year," CNBC reported
