UK economy shrinks as firms battle higher prices

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UK economy shrinks as firms battle higher prices
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The economy contracted by 0.3% in April after it shrank by 0.1% in March, official figures show.

The UK economy shrank again in April as businesses felt the impact of price rises and supply chain shortages.

April was the first time all main sectors of the economy - services, manufacturing and production - had shrunk since January 2021.Prices are rising at their fastest rate for 30 years by record-high fuel and energy costs. The Office for National Statistics said the main driver of April's contraction was the fall in the services sector due to the winding down of the NHS's Covid test and trace operation.

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