The OECD has warned that UK economic growth next year could come in lower than previously expected, with higher energy prices linked to the conflict in the Middle East and to climate change cited as risks, according to the BBC.
Key facts
- The OECD's outlook for UK economic growth next year is lower than previously expected, according to the BBC.
- Higher energy prices are identified as a risk that could hit growth.
- The conflict in the Middle East is cited as a factor pushing energy costs up.
- Climate change is also flagged as a pressure on energy prices, according to the BBC.
- Specific revised growth figures were not detailed in the available reporting.
UK economic growth next year could be weaker than previously expected, according to the Organisation for Economic Co-operation and Development (OECD), as reported by the BBC.
The OECD pointed to higher energy prices as a factor that could weigh on growth. Those higher prices are linked in part to the conflict in the Middle East, according to the BBC’s report.
Climate change was also identified as a pressure on energy costs. Together, these factors could hit the pace of UK economic expansion, the report said.
The precise scale of any downgrade and detailed forecast figures were not set out in the available reporting, and the full OECD assessment was not immediately available.
Why it matters
Slower economic growth can affect jobs, wages, tax revenues and the cost of living for households across the UK. When international bodies such as the OECD flag risks to their forecasts, it points to potential pressure on both the government's finances and household budgets.
Frequently asked questions
How much will the UK economy grow next year according to the OECD?
The BBC reports the OECD expects the UK economy to grow by less than previously expected next year, though a specific figure was not provided in the available source.
Why is the OECD lowering its UK growth forecast?
According to the BBC, higher energy prices linked to the conflict in the Middle East and to climate change could hit growth.
Who produced this economic forecast?
The forecast was produced by the OECD, the Organisation for Economic Co-operation and Development, as reported by the BBC.