6:34 am, August 13, 2026
UK economy ‘may grow by only 0.3% next year if Middle East disruption goes on’
The UK economy will barely grow next year if disruption to the Strait of Hormuz linked to the Iran war continues until the end of 2026, Treasury officials have briefed the prime minister.
Internal modelling from the Treasury suggests UK GDP (gross domestic product) could see growth as low as 0.3% in 2027, government sources have said.
It comes amid a backdrop of modest growth in the UK economy, although the Office for National Statistics (ONS) is expected to reveal on Thursday that UK GDP saw no growth in June.
Burnham says he wants to go ‘further’ on business rates at the budget
Andy Burnham has said he wants to go ‘further’ in supporting high street businesses at the budget with their business rates, after announcing plans to slash the tax for pubs, clubs and venues.
The 20% rates relief for pubs and other similar venues was among the first announcements the prime minister made when he came into office, as part of a series of cost-of-living related measures.
Speaking to BBC Radio 5 Live’s Wake Up To Money programme, Burnham suggested he wanted to go further with business rates relief at the budget on October 28.
VW ID.3 Neo starts from £33,080
Volkswagen has opened UK order books for the new ID.3 Neo, with prices starting from £33,080 before the government’s £1,500 Electric Car Grant, reducing the entry price to £31,580.
Buyers can choose from three trims – Life, Style and Style Launch Edition – with prices rising to £39,750.
The refreshed electric hatchback features redesigned styling, a revamped interior and Volkswagen’s latest infotainment system. Three battery options are available – 50kWh, 58kWh and 79kWh – offering up to 390 miles of WLTP range and DC rapid charging at up to 183kW.
The markets
Stocks in London ended mixed on Wednesday as investors weighed in-line US inflation data, which saw rate hike bets pared back slightly across the pond.
The FTSE 100 index closed down 11.04 points, 0.1%, at 10,833.15. The FTSE 250 ended up 15.13 points, 0.1%, at 24,814.88, while the AIM All-Share closed up 4.36 points, 0.6%, at 803.93.
The pound traded at 1.3507 dollars on Wednesday afternoon, down slightly from 1.3509 dollars at the equities close on Tuesday.
British stargazers treated to astral delight with eclipse and Perseid shower
Astronomy fans across the UK were treated to an astral delight overnight as the best solar eclipse in decades was followed by the peak of the annual Perseid meteor shower.
More than 90% of the Sun was obscured by the Moon, the most it has been blocked above UK skies since the total eclipse in 1999.
Following the eclipse, there was a 650% increase in the number of people searching ‘sore eyes’ on Google in the UK, compared to the same time on Tuesday.
UK could see hottest day of year as parts of England may hit 38C
The UK could see its hottest day of the year so far as parts of England may hit 38C during the peak of the fifth heatwave of the summer.
Rare amber ‘extreme heat’ warnings have been issued by the Met Office for London and parts of the South East, East Midlands, East of England, West Midlands and South Yorkshire from 9am to midnight on Thursday.
It comes after prime minister Andy Burnham chaired a meeting of the government’s emergency Cobra committee on Wednesday in response to the prolonged spell of exceptionally hot and dry weather.
Wednesday on Car Dealer
Fish Brothers reports dip in profits despite soaring new and used car sales in 2025
Dealer group Fish Brothers has reported a small dip in profits for last year, despite a rise in new and used vehicle sales.
Jaguar reveals first look inside controversial Type 01 as it edges closer to production
Jaguar has revealed the interior of its upcoming electric Type 01 saloon car for the first time.
Car dealer jailed after stealing three Mercedes from friend and fleeing to Cyprus
A dodgy car dealer who fled the country after stealing three Mercedes cars and £42,000 from a former friend has been jailed.
Car dealers could be BANNED from cleaning vehicles as water board applies for drought order
Car dealers in the south of England could be banned from washing vehicles after a major water board applied for an official drought order.
Greenhous Group appoints Matthew Jones to board after 14 years with dealer group
Greenhous Group has announced a new addition to its senior leadership team, with chief technology and communications officer Matthew Jones set to join the board of directors after almost 14 years with the business.
Motor trade manager makes incredible 411-yard hole-in-one that could be English record
A McLaren product and training manager has hit what could be the longest hole-in-one ever recorded in England after holing his tee shot from 411 yards.