The UK leaves recession – but is it too late for the Tories?

The Office for National Statistics (ONS) confirmed this morning that the UK confined its technical recession to 2023. The economy grew by 0.6 per cent in the first three months of the year, thanks in large part to stronger-than-expected growth in March, which reached 0.4 per cent. Both numbers were larger than expected (the consensus was for 0.4 per cent and 0.1 per cent respectively), as growth figures for February were also revised upwards, from 0.1 per cent to 0.2 per cent.

Services output was the ‘largest contributor’ to the economic bounceback, growing at 0.7 per cent in the first three months of the year. Transportation and storage were the ‘largest positive contributor’ to the rises of services – growing at 3.7 per cent – followed by professional, scientific, and technical activities – growing at 1.3 per cent – and administration and support services – growing at 1.7 per cent. The ONS also notes that there was no industrial action in March, compared with the five days of strikes in February, which helps to explain March’s stronger showing.