UK April GDP Contracts 0.1% Matching Forecasts as Services Weigh

UK April GDP fell 0.1% month-on-month on June 12, exactly in line with expectations and reversing March’s 0.3% gain. The print followed June 10 forecasts of a contraction driven by the Iran-linked energy shock, weak retail sales, strikes and fading Q1 stockpiling. Services output missed at -0.2%, while manufacturing beat estimates at +0.4% and three-month GDP growth accelerated to 0.7%. The data arrive against the backdrop of Bloomberg Economics’ assessment that Brexit has already reduced UK GDP by 2-4% over the past decade.