UK Economy Grows 0.7% Q1 Driven by Services Sector

During the May 15 edition of BBC Breakfast, presenters Naga Munchetty and Charlie Stayt interrupted their regular broadcast to announce that the UK economy grew by 0.7% in the first quarter of the year, surpassing the 0.6% analysts had predicted. The growth was primarily driven by the services sector, with production also seeing significant increases. Despite this positive data, analysts and BBC's deputy economics editor Dharshini David cautioned that rising household bills, higher taxes, and tariff concerns have led to declining consumer confidence, suggesting the growth might be short-lived. Business correspondent Peter Ruddick described the figures as "relatively good" and noted the growth was considerably higher than the previous quarter's 0.1%, which is encouraging for the government’s economic agenda. Chancellor Rachel Reeves highlighted the data as evidence of the UK economy's strength and potential. The announcement was delivered live on air, marked by a breaking news banner, briefly halting the usual flow of the morning program.