Britain’s economy shrinks 0.2% in Q3

Official data showed the British economy contracted 0.2% in the three months to September, which is expected to be the start of a prolonged recession.

Experts polled by Reuters had forecast a larger contraction of 0.5 percent of the gross domestic product in the third quarter.

The Bank of England said last week that the British economy would enter a two-year recession if interest rates rose as much as investors expected.

He noted that even without further rate hikes, the economy will contract in five of the six quarters until the end of 2023.