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UK economy stagnates as cost of living crisis hits spending

Output was flat in the three months to July, falling short of analysts’ expectations

The UK economy stagnated in the three months to July as the cost of living crisis hit household budgets and business activity.

Output was flat over the period, according to official data released on Monday, compared with economic growth of 0.3 per cent in the three months to April.

The latest data from the Office for National Statistics will soon be superseded by new figures that are likely to show a relative decline in UK economic performance compared with other leading economies such as Germany.

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