Nick Edser

UK GDP grew 0.1% in May, reversing a small contraction in April, with services driving growth while production and construction declined. The ONS highlighted strong contributions from computer programming, advertising and pharmaceuticals. Analysts noted that the Middle East conflict has raised energy prices and disrupted supply chains, weighing on several sectors. Rising oil prices and tighter financial conditions pose risks to the outlook despite potential boosts from warmer weather and major sporting events. Treasury officials said the UK remains in a stronger economic position compared with two years earlier.