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flag UK economy contracts by 0.1% in January, contrary to growth forecasts, due to manufacturing and construction drops.

flag The UK economy shrank by 0.1% in January due to a drop in manufacturing and construction, despite predictions of a 0.1% growth. flag Poor January weather partly caused this setback, but the ONS noted that the economy grew 0.2% over the three months to January, helped by the services sector. flag Chancellor Rachel Reeves is set to address these challenges in her March 26 spring statement, amid rising borrowing costs and economic growth concerns.

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