World Cup nets a boost for Burnham as GDP grows by 0.4% beating City expectations

The World Cup and heatwaves helped to fuel economic growth in Britain offsetting the blow from Donald Trump’s Iran war, official figures reveal.Gross domestic product (GDP) rose by 0.4% between April and June, according to the Office for National Statistics.The rise was better than City forecasts, but down from 0.6% growth in the first three months of the year.The data showed growth of 0.3% month-on-month in June, against expectations for a flat performance.Pubs did good trade during the World CupGetty“Some of the rises in arts/entertainment activity, information/communication and in accommodation/food services in June probably had a lot to do with temporary factors, such as the World Cup and the unseasonably warm weather,” said Ruth Gregory, deputy chief UK economist at Capital Economics. Aaron Bright, investment analyst at investing and trading platform IG, added: “The World Cup gave hospitality, retail and the pub trade a patriotic lift, though it ultimately ended in bitter disappointment for England and Scotland, and one-off boosts of that kind are no foundation for consistent, durable growth.“Underneath the headline the picture is less reassuring; production managed no growth across the quarter and the data was largely being propped up by services.”Chancellor John Healey says the Government will ‘double down and drive growth in every postcode’PA WireThe June rise in GDP followed flat growth in May, revised down from 0.1% growth previously estimated, and a 0.1% contraction in April.Liz McKeown, ONS director of economic statistics, said: “Growth slowed in the second quarter of the year, following a strong start to 2026, but remained relatively robust.“Services also drove growth in June, with some businesses reporting that good weather and sporting events may have had a positive impact that month,” she added.Read MoreResponding to the news, Chancellor John Healey said: “People are worried about the impact of the conflict in the Middle East on their cost of living, which has been too high for too long and it has added pressure on British businesses.”He added: “This is an active, hands-on government, putting British interests first – giving breathing space to those feeling the strain, making our country more resilient and bringing hope back.“We’ve seen the fastest growth in the G7 this year, but we now need to double down and drive growth in every postcode.”Shadow chancellor Sir Mel StridePABut Shadow Chancellor Sir Mel Stride stressed: "Our economy is struggling because Labour have no plan for growth."Labour have mismanaged the economy with their tax and borrowing spree, leaving it weak and vulnerable to the effects of shocks like the Iran War. “Yet Andy Burnham is gearing up to tax and borrow even more, doubling down on those failures.”