UK economy records surprise 0.3% growth in first month of the Iran war
GDP reading ties in with some surveys suggesting UK plc has kept up momentum despite rising fuel costs
AI Summary
The UK economy grew by 0.3% in March 2026, exceeding economists' predictions of a 0.2% contraction and suggesting the Iran conflict has not yet significantly impacted economic activity despite rising fuel costs. Growth was driven by the services sector, particularly computer programming and advertising, while construction also returned to positive growth. The stronger-than-expected performance aligns with business surveys indicating the economy has maintained momentum despite the Middle East conflict and closure of the Strait of Hormuz.