Latest news with #NationalStatistics
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First Post
5 hours ago
- Business
- First Post
UK's economy shrinks more than expected, Trump's trade war hits it hard
National Statistics revealed that the UK economy contracted by 0.3 per cent in April, marking the worst monthly drop since October 2023 read more Cargo is loaded onto the container ship MH Perseus, following its arrival from New Orleans, U.S., at the Port of Southampton, Southampton, Britain, April 3, 2025. Source: Reuters The UK economy contracted by 0.3 per cent in April, more than what experts and economists expected as taxes rose and exports to US nosedived. Businesses scaled back investment plans and slashed jobs, pushing the economy into reverse. Earlier, economists predicted 0.1 per cent contraction. The latest figure from the Office for National Statistics reveals that it's the worst monthly drop since October 2023, following positive growth rate of 0.2 per cent and 0.5 per cent in March and February, respectively. STORY CONTINUES BELOW THIS AD Trump's tariff war bites Economists earlier predicted that US President Donald Trump's 'liberation day' tariffs were expected to hit UK exports to the world's largest economy. 'After increasing for each of the four preceding months, April saw the largest monthly fall on record in goods exports to the United States with decreases seen across most types of goods, following the recent introduction of tariffs,' Liz McKeown, an ONS director of economic statistics, was quoted as saying by the Guardian. In the same period, manufacturing dropped by 0.6 per cent, mainly due to cuts in auto industry output. The UK's auto sector suffered mainly because of the US 25 per cent levy on auto imports. (More to follow)
Daily Mail
2 days ago
- Business
- Daily Mail
Bank of England weighs interest rate cut as Budget costs hammer jobs market
Unemployment is at its highest level since July 2021 as the labour cost implications of the Chancellor's Autumn Budget continue to weigh on the UK jobs market. The jobless rate rose to 4.6 per cent in the three months to May, while vacancies were slashed by 63,000 to 736,000 and payroll numbers saw their largest slump since May 2020, according to data from the Office for National Statistics. It follows the introduction of higher national insurance contributions and a national living wage hike the previous month. Wage growth also eased more than expected to 5.4 per cent year-on-year before bonuses, though this remains roughly 2.1 per cent above the rate of overall inflation in real terms. Private sector regulator wages, a figure closely monitored by the Bank of England, fell from 5.5 to 5.1 per cent, but remain well above the 3 per cent target the central bank thinks is consistent with its goal of 2 per cent overall inflation. It follows separate data published earlier on Tuesday that showed retail sales grew at their slowest pace in six months in May, adding to signs of economic deterioration. The data provides further food for thought for the BoE, which must weigh signs of economic weakness with growing inflationary pressures when making its latest decision on the direct of interest rates next week. BoE Governor Andrew Bailey told MPs last week the pace of interest rate cuts is now 'shrouded in a lot more uncertainty', citing 'heightened unpredictably' as US President's Donald Trump's trade tariffs weigh on the global economy. The bank will be armed with fresh GDP data published later this week when it makes its decision, but the Monetary Policy Committee is currently forecast to keep base rate on hold at its current level of 4.25 per cent. The unemployment rate rose again in the three months to May Two more base rate cuts tipped for this year Thomas Pugh, economist at RSM UK, said: The labour market is clearly cooling, and we are becoming more concerned about demand for labour. 'Indeed, rather than the labour market starting to recover in May, the early indications are that easing accelerated. 'The hawks on the MPC will still be too concerned about strong wage growth to consider going for another rate cut in June. But today's data leaves the MPC on its gradual rate cutting path.' Current market pricing suggests the BoE will cut interest rates at least one more time this year by 25 basis points to 4 per cent, with a slight majority of investors predicting a second cut of the same size to 3.75 per cent. Richard Carter, head of fixed interest research at Quilter Cheviot, said: 'Despite what is an obviously slowing economy, many risks remain present in the world that could easily allow inflation to climb higher again, principally an escalation of the trade war come July when Donald Trump's 90-day pause on reciprocal tariffs ends. 'We will need to see a significant further weakening of the labour market here in the UK before the Bank of England chooses to up the pace of its rate cuts.'
Time of India
22-05-2025
- Business
- Time of India
UK net migration halves as crackdown on study and work visas reshapes immigration debate
The figures were released by National Statistics (ONS) A sharp and unprecedented fall in the UK's net migration has reignited debate over the nation's identity, economy, and political direction. New data from the Office for National Statistics (ONS) reveals that net migration dropped to 431,000 in 2024, nearly halving from 860,000 the previous year. This 49.9% decline marks the steepest annual percentage drop since the pandemic and the largest numerical fall on record. More than just numbers, this shift signals a country recalibrating its place in the world — one that is struggling to strike a balance between openness and control, growth and cohesion, pragmatism and populism. The politics of decline The dramatic reduction in migration follows tighter visa restrictions imposed by the former Conservative government at the start of 2024. Work and study routes were narrowed in a bid to answer mounting political pressure over immigration. Ironically, the same government was ousted shortly after, punished by an electorate that had grown weary of years of broken promises and soaring arrivals. Now under Labour leadership, Prime Minister Keir Starmer is pursuing a different path — one aimed not just at reducing migration, but integrating those who come. He warns of Britain becoming an 'island of strangers' and has proposed reforms to raise English language requirements and reassess migration routes, all while refusing to set a fixed numerical target. A legacy of migration Migration has long played a pivotal role in Britain's story. After the devastation of World War II, waves of newcomers arrived from across the Commonwealth to rebuild the country's infrastructure and staff its public services. For decades, immigration was viewed through the lens of necessity, not controversy. But political tides shifted in the early 21st century. Rising immigration figures, coupled with austerity and housing shortages, transformed the issue into a flashpoint. The 2016 Brexit vote was a defining moment — a populist backlash against the European Union's freedom of movement provisions and a wider anxiety about national control. Populism's political windfall Anti-immigration sentiment continues to shape the political landscape. Reform UK, a hardline nationalist party, made significant gains in recent local elections, campaigning on claims that high immigration is eroding public services and community cohesion. Though the facts paint a more complex picture, such narratives have found traction among a public increasingly anxious about access to housing, education, and healthcare. While only around 37,000 people entered the UK through irregular means, such as Channel crossings, last year, this smaller figure continues to dominate headlines, fuelling fear and overshadowing the more substantial flows via legal channels. War, crisis, and the humanitarian surge The recent spike in migration numbers, especially in 2022 and 2023, was driven largely by humanitarian crises. Over 200,000 Ukrainians fleeing Russia's invasion were granted refuge in the UK, alongside more than 150,000 Hong Kong residents under special visa schemes. These arrivals reflected the UK's commitment to international responsibility, but also intensified public concerns over the sustainability of migration volumes. The question now is how to maintain moral leadership without overwhelming domestic systems. Starmer's strategy: Reform without retrenchment Labour's new strategy signals a shift from numerical targets to policy refinement. Starmer's approach is focused on 'smarter migration' — tightening visa rules where necessary, improving integration, and ensuring migration supports the economy. A key feature of his plan is requiring higher English proficiency across immigration routes, a move experts believe could cut arrivals by another 100,000 annually. Still, analysts warn of the risk of labour shortages in key sectors such as healthcare, hospitality, and education — areas that have long depended on overseas talent. A nation at a crossroads As Britain charts its future, the sharp decline in net migration offers a moment for reflection. Is the country closing its doors too quickly, or finally responding to years of unchecked growth? Can it preserve the economic benefits of migration while addressing public concerns over cohesion and service pressure? The answers will define more than immigration policy. They will shape Britain's economic resilience, its international credibility, and its evolving sense of national identity. The migration debate is no longer a distant issue — it is now a mirror held up to the soul of the nation. Invest in Their Tomorrow, Today: Equip your child with the essential AI skills for a future brimming with possibilities | Join Now
Time of India
22-05-2025
- Politics
- Time of India
UK net migration in 2024 fell by half to 431,000: Official figures
The figures were released by National Statistics (ONS) Net migration to the UK halved in 2024 to 431,000 people, the latest official figures showed Thursday, driven by tougher work and study visa restrictions. The Office for National Statistics (ONS) estimated the figure for the year at 431,000, down from 860,000 in the year to December 2023, the biggest fall in net migration since the Covid pandemic. "Long-term net migration is down by almost 50 per cent," the ONS said in its latest report adding: "we are seeing reductions in people arriving on work- and study-related visas". It had also recorded "an increase in emigration over the 12 months to December 2024" especially by those on work and study visas. The previous Conservative government had toughed conditions for those applying for such visas, setting higher caps on salaries and refusing people to bring their families with them. But immigration has become a hot-button issue in UK politics, and Labour Prime Minister Keir Starmer unveiled tough new immigration policies earlier this month vowing to "finally take back control" of Britain's borders. The measures included cutting overseas care workers, doubling the length of time before migrants can qualify for settlement and new powers to deport foreign criminals. Starmer, a former human rights lawyer who voted for the UK to remain part of the EU, is under renewed pressure to tackle immigration following the anti-immigration Reform party's gains in recent local elections.
Times
16-05-2025
- Business
- Times
UK inflation rate set to leap after bill rises in April
Inflation is on track to accelerate by the quickest pace in two and a half years, figures next week are expected to show, driven upwards by a range of rising household bills. City analysts think that data published next Wednesday by the Office for National Statistics (ONS) will reveal that inflation climbed to as high as 3.6 per cent in April from 2.6 per cent in the previous month. This would be the steepest rate since January 2024 and would represent the largest month-on-month percentage point increase since October 2022. Inflation is also expected to hover around 3 per cent for the rest of the year, kept elevated by strong wage growth, rises in payroll taxes and higher energy bills. It comes after Ofgem, the
