{"id":363433,"date":"2026-03-28T23:54:33","date_gmt":"2026-03-28T23:54:33","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/363433\/"},"modified":"2026-03-28T23:54:33","modified_gmt":"2026-03-28T23:54:33","slug":"uk-forecast-to-see-biggest-hit-to-growth-from-iran-war-out-of-major-economies","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/363433\/","title":{"rendered":"UK forecast to see biggest hit to growth from Iran war out of major economies"},"content":{"rendered":"

The OECD’s global growth forecast for this year is unchanged at 2.9%, but it predicts inflation across the G20 countries will be 4%, sharply up from its previous forecast of 2.8%. The G20 includes the EU plus 19 other countries, collectively accounting for 85% of the world’s economic output.<\/p>\n

UK inflation is now forecast to hit 4% this year, up from the previous estimate of 2.5%. <\/p>\n

The OECD then forecasts inflation will drop to 2.6% in 2027 – still up from its previous projection of 2.1%.<\/p>\n

Among G7 countries, only the US is predicted to have higher inflation than the UK in the forecast, while only Italy is expected to see weaker growth. The G7 <\/a>is made up of the US, UK, Canada, France, Germany, Italy and Japan.<\/p>\n

In early March the UK government’s official forecaster, the Office for Budget Responsibility (OBR), cut its expected growth rate for the UK this year to 1.1% from the 1.4% it predicted in last year’s Budget. <\/p>\n

But this forecast was made before the Iran war, which the OBR said could have a “very significant” impact on economies.<\/p>\n

Chancellor Rachel Reeves said the Iran war would affect the UK, but “in an uncertain world we have the right economic plan”.<\/p>\n

“The decisions we have taken have put us in a better position to protect the country’s finances and family finances from global instability,” she said.<\/p>\n

But shadow chancellor Sir Mel Stride called the downgrade a “damning verdict on how vulnerable our economy is thanks to Labour”. <\/p>\n

“Rachel Reeves can blame the world all she wants, but it’s her choices that have weakened our economy at the worst possible moment,” he added.<\/p>\n

The Liberal Democrats called the forecast a “wake-up call that the government’s anti-growth agenda” was costing families.<\/p>\n","protected":false},"excerpt":{"rendered":"The OECD’s global growth forecast for this year is unchanged at 2.9%, but it predicts inflation across the…\n","protected":false},"author":2,"featured_media":363434,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[114,184,85,46],"class_list":["post-363433","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-il","tag-israel"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/363433","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=363433"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/363433\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/363434"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=363433"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=363433"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=363433"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}