UK Economy stirs a bit in Q2, but that sparkle is fading
The UK’s GDP jumped 0.3% in the second quarter of 2025 – a bit better than bookmakers had warned – yet it’s a noticeable drop from the 0.7% sprint in Q1. Think of it like a marathon runner who slows down after the first mile.
Sector Sweat
- Services and construction kept moving forward, clocking modest wins.
- Production took a nosedive, yanking its unit sales down.
- Business investment went down in a steep drop, hinting that the underlying economy is still a tad shaky.
The Night‑Time Economy: Big, Bare or Not?
The nightlife juggernaut pumps over £153.9 billion into the annual pot. But this shiny headline doesn’t hide the real story: rising energy, labour and supply prices, plus a barrage of taxes, are chewing away at margins.
Consumers are on a wild roller‑coaster of spending, and many venues are juggling their bookings as if on a tightrope. Our freshest data shows growth slowing to only 2.5% last year, and jobs in pubs, clubs and cultural venues are slipping. If legislation stays on the sidelines, this slump could gnar to a more profound slump, wounding local economies and putting community life under stress.
Calling in the Help
- Refine business rates so the night‑time economy can breathe easier.
- Synchronise VAT for hospitality to level the playing field.
- Keep the conversation alive – continuous engagement with the sector is key to unlocking a rebound.
The night‑time scene isn’t just about cocktails and neon lights; it’s an economic engine that creates jobs, fuels tourism and stitches communities together. As the broader economy wrestles with uncertainty, it’s high time we make sure the heartbeats behind our evenings keep throbbing strong.
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