The Office for National Statistics (ONS) said there was zero growth in gross domestic product (GDP) in January. Liz McKeown, ONS director of economic statistics, said the “overall picture remains subdued” in the UK economy. Experts said that Bank of England policymakers are likely to hold off from cutting interest rates next Thursday despite the UK’s tepid economic performance in recent months. He said: “If energy prices stay around current levels, another bout of stagflation looks likely, with growth slipping to around 0.5% this year. “If energy prices move even higher, in a similar way to 2022 a recession looks more likely, given the weaker labour market and tighter starting point for monetary and fiscal policy.”

Source: The Times March 13, 2026 19:43 UTC