The UK economy expanded by 0.4% in the second quarter of 2026, aligning with economists' predictions. Growth was particularly strong in June, driven by the FIFA World Cup and favorable weather conditions that benefited retail and leisure sectors. The services sector saw a notable increase of 0.5%, while construction grew by 0.3%.
Watch for how the ongoing conflict in the Middle East might influence UK inflation and supply chains in the coming months. The positive impact of the World Cup on retail and leisure could be short-lived, so monitor consumer spending trends as the summer progresses.