UK GDP growth confirmed at 0.1 percent for final quarter

UK GDP grew 0.1 percent in the fourth quarter of 2025 as annual growth reached 1.4 percent. Forecasters warn of a slowdown in 2026 due to the Iran war.

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The economy of the United Kingdom showed minimal expansion during the final quarter of 2025, according to official data released on Tuesday. This stagnation presents a significant hurdle for the government as it attempts to maintain momentum into 2026, particularly as the ongoing conflict in Iran is expected to dampen global demand and accelerate inflationary pressures.

The London skyline is seen with the financial district in the background, in London, Britain, March 25, 2026. REUTERS/Isabel Infantes
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