UK Economy Faces Stagnation

The UK economy has reached a critical juncture, experiencing no growth in the third quarter of 2024 as GDP growth was revised down to 0%. This stagnation follows a reduction in second quarter growth from 0.5% to 0.4%, indicating ongoing economic challenges that have raised alarms among analysts and policymakers. Labor's Shadow Chancellor, Rachel Reeves, highlighted the complications arising from a reported decline in October 2024, asserting that years of economic neglect have left significant hurdles. Uncertainty from proposed tax increases and deteriorating business confidence threatens to prolong this period of stagnation as companies prepare for reduced hiring and output.