May 6, 2024
UK economy contracted in May after King's coronation halted activity

UK economy contracted in May after King's coronation halted activity


The UK economy contracted in May after businesses across the country downed tools for the King’s coronation, according to official figures.

Gross domestic product (GDP) declined by 0.1% for the month, after increasing by 0.2% in April, the Office for National Statistics said.

The contraction was driven by the extra bank holiday weekend for the royal occasion, meaning sectors like construction and finance lost a working day in the month.

Economists had been expecting the economy to shrink slightly more. Deutsche Bank thought the monthly GDP decline would be 0.3%, while Investec Economics had predicted 0.5%.

The economy had been boosted in April as Britons spent more in pubs, bars and shops.

Source link