UK economy shrinks for the first time since 2012 – Chancellor “not expecting” recession

The British economy has shrunk for the first time since 2012. GDP dropped by 0.2 per cent in the second quarter of, a fall blamed on ‘increased volatility’ about Brexit.

The pound fell sharply on the news, hitting its lowest point against the dollar for almost 3 years – increasing fears that the economy could slide into a recession.

But the Chancellor, Sajid Javid, told Channel 4 News he wasn’t expecting any such thing.