2017.05.2506:06:00UTC+00British Economy Degenerates More than Projected in Q1

The British economy decelerated more than previously anticipated in the first quarter of 2017 as increasing inflation bolstered by Brexit affected the consumer spending.

Official data showed the UK GDP rose by only 0.2% from an earlier estimate of 0.3%. In the early part of 2017, growth tumbled to 2.0% on a yearly basis from a previous projection of 2.1% growth.

The UK's statistics agency said Thursday the economic expansion lagged as consumer-facing industries including retail declined and household spending dwindled, primarily because of escalating prices.

Household spending in the Q1 added only 0.3% and business investment gained 0.6%. However, net trade dwindled 1.4 percentage points off the GDP level in a quarter.