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The UK economy fell at a faster pace than expected in April, numbers on Thursday showed, as services output slumped. According to the Office for National Statistics, the UK economy fell 0.3% in April from March. It had expanded 0.2% in March from February. The reading for April fell short of expectations, as a smaller decline of 0.1% was expected, according to consensus cited by FXStreet. ‘Monthly services output fell by 0.4% in April 2025, following growth of 0.4% in March 2025, and was the largest contributor to the fall in GDP in the month,’ the ONS said. ‘Production output fell by 0.6% in April 2025, following a fall of 0.7% in March 2025.’ In the three months to April, the UK economy grew 0.7% compared with the three months to January. The ONS said there were signs ‘that some activity may have been brought forward from April to earlier in the year’. ‘There was growth in all three main sectors in the three months to April 2025, with a rise of 0.6% in services sector output the main contributor to the increase in GDP, while production and construction output grew by 1.1% and 0.5%, respectively,’ the ONS added. Separate numbers on Thursday showed the UK trade deficit stretched monthly and on-year. The total UK trade deficit amounted to £7.03 billion in April, widening from £3.70 billion in March and £5.75 billion a year prior. Imports rose 1.0% on-month to £80.47 billion, while exports declined 3.4% to £73.44 billion. The pound $1.3590 before the UK data was released, but fell to $1.3563 shortly afterwards. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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