UK Economy Shrinks by 0.1% in July Amid Rising Energy Costs

Economists are predicting that the UK economy will have shrunk by 0.1% in July, according to Investec and Pantheon Macroeconomics.

This would be a downbeat start to the leadership of Prime Minister Andy Burnham, who was appointed in July.

The experts blame weak retail sales and increased energy costs for households for the predicted decline.

In June, the UK economy grew 0.3% due to hospitality and leisure firms benefiting from football fever and prolonged hot weather.