THE UK economy shrunk in April new figures reveal, as experts warned the country is heading for recession.
Gross Domestic Product (GDP) fell by 0.3% official date from the Office for National Statistics (ONS) shows today.
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The latest data comes as millions of Brits face a crippling cost of living crisis.
Energy bills and fuel are among the everyday costs rocketing in price as inflation has hit 9% – and could still climb higher this year..
The country’s leading business group has warned that Brits face the biggest squeeze on their finances since the 1950s.
The CBI also says Britain is on the brink of recession.
It predicts inflation will hit 8.9%, seeing real household disposable income falling 2.3% by Christmas
The CBI is also downgrading growth forecasts to 3.7% this year and a meagre 1% next year.
Last month the economy shrank by 0.1%, and 0% growth was recorded in the previous month before that.
GDP is 0.9% above its pre-pandemic level, the ONS said.
Darren Morgan, director of economic statistics at the ONS, said: “A big drop in the health sector due to the winding down of the test and trace scheme pushed the UK economy into negative territory in April.
“Manufacturing also suffered with some companies telling us they were being affected by rising fuel and energy prices.
“These were partially offset by growth in car sales, which recovered from a significantly weaker than usual March.”
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