UK enters recession after steeper-than-expected fall in GDP
The UK economy has officially entered recession, figures show.
A recession is defined as two consecutive three-month periods where the economy contracts rather than grows.
A major measure of economic growth, gross domestic product (GDP) shrank 0.3% between October and December, the latest Office for National Statistics (ONS) data shows.
It’s a steeper-than-expected fall, as economists had forecast a 0.1% contraction.
It followed 0.1% of negative economic growth in the three months from July to September.
The data, however, is just an estimate and is subject to revision.
Figures are routinely revised as more information becomes available.
Money latest: What unexpectedly large contraction means
While previous recessions were long lasting – such as during the global financial crash of 2008 and 2009 – this one is likely to be mild and short-lived.
It could also prompt interest rate-setters at the Bank of England to bring down interest rates sooner, and reduce the cost of borrowing.
But the data will be bad news for Prime Minister Rishi Sunak and the Conservatives, who made growing the economy one of their five key pledges.
Consumer spending power has been eroded by the cost of living crisis, with high inflation and expensive energy bills eating into disposable income.
Stormy weather also has kept shoppers at home and limited production output.
Pic: Istock
Rainfall was far above average levels for the final three months of 2023 – with higher wind speeds household spending and government consumption and construction, where output dropped 1.3%.
In the key December shopping month, retail sales declined to a level not seen since the middle of the COVID lockdown in January 2021, the ONS said last month.
The UK economy struggled with productivity, particularly emerging from the pandemic. The number of long-term sick and people neither working nor seeking work hit all0-time highs as the virus receded and lockdowns disappeared.
Strikes have also held back productivity as private and public sector workers across industries staged walkouts throughout 2023.
In response to the data, Chancellor Jeremy Hunt said: “High inflation is the single biggest barrier to growth which is why halving it has been our top priority. While interest rates are high – so the Bank of England can bring inflation down – low growth is not a surprise.
“But there are signs the British economy is turning a corner; forecasters agree that growth will strengthen over the next few years, wages are rising faster than prices, mortgage rates are down and unemployment remains low. Although times are still tough for many families, we must stick to the plan – cutting taxes on work and business to build a stronger economy.”
On X, Labour leader Sir Keir Starmer wrote: “Rishi Sunak has failed to turn the corner on 14 years of Tory economic decline. Britain is hit by a recession and it’s working people who will pay the price. It’s time for change. Only Labour will deliver it.”
Singer Linda Nolan, who rose to fame alongside her sisters in The Nolans, has died after several years of battling cancer.
The Irish star, 65, and her sisters Coleen, Maureen, Bernie, Denise and Anne, had a run of hits in the late 1970s and ’80s – including the disco classic I’m In The Mood For Dancing.
Paying tribute on The Nolans‘ X account, her sisters described her as “a pop icon and beacon of hope”, who “faced incurable cancer with courage, grace and determination, inspiring millions”.
Linda died peacefully in hospital this morning, “embraced with love and comfort” with her siblings by her side, her agent Dermot McNamara said in a statement.
“As a member of The Nolans, one of the most successful girl groups of all time, Linda achieved global success; becoming the first Irish act to sell over a million records worldwide, touring the world and selling over 30 million records,” he said.
“Her distinctive voice and magnetic stage presence brought joy to fans around the world, securing her place as an icon of British and Irish entertainment.”
As well as her TV and musical career, Linda helped to raise more than £20 million for numerous charities, including Breast Cancer Now, Irish Cancer Society, Samaritans and others.
“Her selflessness and tireless commitment to making a difference in the lives of others will forever be a cornerstone of her legacy,” Mr McNamara said.
Five of the Nolans in 1983 (L-R): Linda, Anne, Bernie, Coleen and Maureen. Pic: PA
Linda’s death came after she was admitted to hospital with pneumonia over the weekend. She began receiving end-of-life care after slipping into a coma on Tuesday.
Details of a celebration of the star’s “remarkable life” will be shared in due course.
Linda was born to Tommy and Maureen Nolan in Dublin on 23 February 1959, the sixth of eight children.
Her parents were both singers and keen to turn their young family into a musical troupe. Linda made her stage debut aged just four.
Those early years put the siblings on track for a career in show business which lasted for decades. As well as I’m In The Mood For Dancing, The Nolans had hits with Gotta Pull Myself Together, Attention To Me and Don’t Make Waves, and they also had their own TV specials.
At their height, they toured with Frank Sinatra and were reported to have outsold The Beatles in Japan.
Linda left the group in 1983, but later reformed with her sisters for several comeback performances. She also became known for musical theatre, most notably performing the role of Mrs Johnstone in Blood Brothers for three years from 2000.
L-R: Bernie, Denise, Linda (top), Anne and Maureen Nolan pictured in 1975, before youngest sister Coleen joined the group
Four siblings struck by cancer
Linda was first diagnosed with breast cancer in 2005, and underwent a mastectomy two days before her 47th birthday.
After being given the all-clear in 2011, in 2017 she was diagnosed with secondary breast cancer. Three years later, Linda and Anne together revealed they were being treated for cancer once again.
The sisters were diagnosed with different forms of the disease just days apart after they returned home from filming a series of their show, The Nolans Go Cruising. Linda had cancer of the liver, while Anne had breast cancer.
The star, pictured last year, had battled cancer for several years. Pic: Shutterstock
They went on to write Stronger Together, an account of their journey that included frank details of their treatments and the side effects.
But in 2023, Linda revealed the cancer had spread to her brain and she was beginning treatment as part of a new drug trial.
The Nolans lost their second-youngest sister, Bernie, to cancer in 2013, aged 52.
Loose Women star Coleen Nolan also revealed she was diagnosed with skin cancer last year, and said she was using a chemotherapy cream to remove it.
Linda’s husband of 26 years, Brian Hudson, died in 2007 after being diagnosed with skin cancer.
Anne Nolan is now cancer-free.
Tributes to star ‘who was always a joy’
TV star and singer Cheryl Baker and comedian Tommy Cannon are among those who have paid tribute.
“I’m heartbroken to hear about the passing of Linda Nolan,” Cannon wrote on X. “I had the pleasure of working with her on so many occasions, and she was always a joy – full of warmth and love. My thoughts and love are with the Nolan girls and the whole family.”
“The most incredible voice, the wickedest sense of humour, such a massive talent,” Baker wrote. “You’re with Brian now, Lin.”
Loose Women also sent its love to her family. Linda appeared as a guest panellist on the ITV chat show over the years, alongside her sister Coleen.
The Blackpool Grand Theatre described her as “a true Blackpool icon”.
A 20-year-old trainee gas engineer who won £7.5m says he was back working on blocked drains the day after claiming his cash.
James Clarkson, 20, from Carlisle, Cumbria, found out he’d hit the £7,533,329 National Lottery jackpot on 4 January – but said he has no plans to quit his job.
“I was out in the cold fixing blocked drains the day after I found out I had won,” he said.
“It was a bit grim but that’s reality.
“I’m not going to stop working, I’m too young,” he added, admitting he knew it might sound “mad” to some.
“I want to qualify as a heating engineer and then go from there.
“I need to have a purpose in life, plus dad wouldn’t let me not work anyway. He says there are plenty of millionaires out there that still work and you need a reason to get up each day.”
Mr Clarkson celebrating with his family. Pic: PA
Mr Clarkson added he still planned to have “some nice holidays” in between working, and revealed one of his first purchases was an all-inclusive luxury break to Cape Verde, along with a few designer items including a Gucci bag for his girlfriend and two new jackets for himself.
He said he also planned to splash out on a new car, possibly an Audi – but for now, he’s got his work van.
“If you drive a cold work van all day, going from job to job, you’d understand,” he said.
“The comfort, the steering, the heated seats. I realise how jammy that sounds, not many people my age can afford the car insurance let alone a car like that to drive.”
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As a huge Manchester City fan, he said he was also looking to buy a season ticket at the Etihad Stadium, as well as taking care of his extended family – starting with paying off his parents’ mortgage.
The new multi-millionaire holds up bespoke Manchester City kit celebrating his win. Pic: PA
He said: “I’ve been thinking about it a lot, it’s what I want to do. I told them last night and they seemed really overwhelmed.
“We are close and they have always been there for me. This win isn’t just for me, I want to make sure we all benefit.”
Mr Clarkson played on the National Lottery app, choosing his winning numbers – 16, 19, 22, 24, 27 and 35 – at random.
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