Economics
U.K. Economy Shrank Less Than Expected In January Lockdown
- Spending on health and construction softened the slump
- Brexit triggered a 40.7% drop in exports to continental Europe
This article is for subscribers only.
The U.K. economy shrank less than expected during a coronavirus lockdown in January, driven by a surprise gain in construction and stronger activity in the health sector.
Gross domestic product fell 2.9%, much smaller than the 4.9% contraction that economists had forecast, the government’s statistics office said. Gains from those segments also helped soften a 40.7% drop in exports to the European Union in the first full month after the Britain’s exit from the bloc.