UK economy grew faster than expected to 0.7% in first quarter of year ahead of Trump tariffs
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How the UK economy became the fastest-growing in the G7
- The UK economy grew by 0.7 per cent in the first quarter of 2025, exceeding expectations and making it the fastest-growing economy in the G7.
- The growth occurred before the imposition of US tariffs in early April 2025, which caused global market instability.
- The growth was primarily driven by the services sector, with notable contributions from wholesale, retail, and computer programming.
- Chancellor Rachel Reeves hailed the figures as evidence of the Government's successful economic policies.
- Despite the positive first-quarter results, concerns remain about the impact of increased national insurance contributions and US tariffs on future economic performance.