UK economy contracts as Iran war impact felt
The UK economy contracted by 0.1% in April, marking the first monthly decline since last year. Analysts attribute this downturn to rising costs and supply chain disruptions caused by the ongoing conflict in the Middle East.
Why it matters
The economic impact of the Iran war highlights the vulnerability of global markets to geopolitical instability and energy price volatility.
Image source, Getty Images By Emer Moreau Business reporter Published 12 June 2026, 07:14 BST Updated 8 hours ago The UK s economy shrank slightly in April as the Iran war began to have an impact on businesses, official data has indicated.
The report relies on official ONS data and expert economic analysis without taking a political stance.
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