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UK economy flatlined in July as manufacturing slumped, but there are reasons for optimism

Faltering growth adds to pressure on Chancellor Rachel Reeves ahead of the November budget, though some sentiment indicators are positive
CoStar Analytics
September 12, 2025 | 11:20 AM

The UK economy failed to grow in July amid a sharp downturn in manufacturing output, with a slowing economy set to become the backdrop to a vitally important Budget on 26 November.

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News | UK economy flatlined in July as manufacturing slumped, but there are reasons for optimism