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flag UK growth forecast lowered to 1.3% in 2025 due to weak investment, high costs, and fiscal pressures.

flag The UK economy faces ongoing challenges with sluggish growth, weak business investment, and rising costs, prompting the British Chambers of Commerce to revise 2025 growth to 1.3% and project modest gains through 2027. Business investment is expected to rise just 1.6% in 2025, down sharply from earlier forecasts, due to higher national insurance, inflation, and uncertainty. flag Chancellor Rachel Reeves prepares her second Autumn Budget in late November amid a £30bn fiscal shortfall, high borrowing costs, and pressure to fund spending without raising taxes or breaching fiscal rules. flag Experts urge stable, predictable policies and no new business taxes to restore confidence and spur investment.

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