🔻Prediction of minimal growth for the UK economy if the crisis in the Middle East continues

🔻Prediction of minimal growth for the UK economy if the crisis in the Middle East continues

Government reports in Britain indicate that if transport disruptions in the Strait of Hormuz continue until the end of the current calendar year, the UK economy will have almost no growth next year.

Officials at the UK Treasury have conveyed this to the prime minister in a report.

According to government sources, internal modeling by the Treasury suggests that the UK’s GDP growth in 2027 could fall by up to 0.3 percent.

Government officials said they typically plan for all possible scenarios, and this growth forecast pertains to a more pessimistic scenario.

The report was published as the UK economy is currently also facing limited growth.

The Office for National Statistics in Britain is expected to soon announce that the country’s GDP in June will show no growth.

Fighting in the Middle East and the war involving Iran have led to higher energy prices, while serious disruption persists in shipping and travel through the Strait of Hormuz.