Economy drops

Economy sees worst contraction since 1979The UK economy shrank more than first thought between January and March, contracting 2.2% where the Office for National Statistics (ONS) had estimated a 2% dip. This marks the biggest quarterly contraction since Q3 1979. Jonathan Athow, deputy national statistician at the ONS, said that all main sectors of the economy shrank “significantly” in March due to the hit from the COVID-19 pandemic. The services sector - which accounts for about three-quarters of UK GDP - shrank by a record 2.3% in Q1, with production down 1.5% and construction slipping 1.7%.