The UK economy expanded by 1.0% year-on-year in the fourth quarter of 2025, slowing from 1.2% in the previous quarter and slightly undershooting market expectations of 1.2%, according to preliminary estimates. It marked the weakest annual growth rate since the second quarter of 2024. The softer reading capped a challenging year for the economy, which grappled with significant tax increases, trade tensions linked to US President Donald Trump’s policies, and a major cyberattack on the country’s largest car manufacturer. Business and consumer confidence also remained subdued toward year-end ahead of Chancellor of the Exchequer Rachel Reeves’ November 26 budget. Both the services and production sectors grew by 1.0% in Q4, while construction posted a modest 0.2% increase. For 2025 as a whole, the economy expanded by 1.3%, slightly above the 1.1% growth recorded in 2024. source: Office for National Statistics
The Gross Domestic Product (GDP) in the United Kingdom expanded 1 percent in the fourth quarter of 2025 over the same quarter of the previous year. GDP Annual Growth Rate in the United Kingdom averaged 2.32 percent from 1956 until 2025, reaching an all time high of 25.50 percent in the second quarter of 2021 and a record low of -21.70 percent in the second quarter of 2020. This page provides the latest reported value for - United Kingdom GDP Annual Growth Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. United Kingdom GDP Annual Growth Rate - data, historical chart, forecasts and calendar of releases - was last updated on February of 2026.
The Gross Domestic Product (GDP) in the United Kingdom expanded 1 percent in the fourth quarter of 2025 over the same quarter of the previous year. GDP Annual Growth Rate in the United Kingdom is expected to be 1.40 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the United Kingdom GDP Annual Growth Rate is projected to trend around 1.50 percent in 2027 and 1.40 percent in 2028, according to our econometric models.