Headline: UK Economy Records Zero Growth in January, ONS Data Shows
- Mar 13
- 1 min read
Why this matters: Weak economic growth and rising energy costs could increase pressure on household finances and government economic policy.
Date: 13 March 2026
Summary:
The UK economy recorded zero growth in January, according to Office for National Statistics figures.
Economists had expected GDP to rise by around 0.2% during the month.
Growth in the final quarter of 2025 was previously reported at just 0.1%.
Private housebuilding fell sharply, with new housing work dropping by 5.6%.
The data predates the economic impact of the US-Israeli conflict with Iran.
Rising oil and gas prices have raised concerns about inflation and living costs.
The Office for Budget Responsibility warned inflation could reach around 3% by year-end.
Oil prices are about 20% higher and gas prices around 50% higher than before the conflict.
Chancellor Rachel Reeves said the government is monitoring several economic scenarios.
Analysts say geopolitical uncertainty could delay potential interest rate cuts.
What’s next: Economists will monitor upcoming data to assess the impact of geopolitical tensions on inflation, growth and interest rate decisions.
Comments