UK Growth Slows to 0.4% as Iran Energy Shock Hits Industry

UK GDP growth slowed from 0.6% in Q1 to 0.4% in Q2 2026, the ONS reported on 13 August. Oil and gas prices surged after US military strikes on Iran in late February, leaving industrial production flat while services expanded 0.5%. The retail energy price cap jumped 13% in July, passing costs to households. July CPI is expected to exceed June's 2.6%.