THE British economy continued to recover in July, expanding by 6.6 per cent, a slower pace of growth than in June when the country emerged from its virus lockdown, official data showed on Friday (11).
Gross domestic product had surged by 8.7 per cent in June and by 2.4 per cent in May, following a record contraction of 20 per cent in April, the Office for National Statistics said in a statement.
"While it has continued steadily on the path towards recovery, the UK economy still has to make up nearly half of the GDP lost since the start of the pandemic," said ONS director of economic statistics, Darren Morgan.
He said that, in July, "education grew strongly, as some children returned to school, while pubs, campsites and hairdressers all saw notable improvements".
Morgan added that car sales exceeded pre-crisis levels for the first time as showrooms reopened.
"All areas of manufacturing, particularly distillers and car makers, saw improvements, while housebuilding also continued to recover," he said.
"However, both production and construction remain well below previous levels."
Chancellor Rishi Sunak said: "While today’s figures are welcome, I know that many people are rightly worried about the coming months or have already had their job or incomes affected. That’s why supporting jobs is our first priority and why we’ve outlined a comprehensive Plan for Jobs to ensure nobody is left without hope or opportunity.
"We’re helping people return to work with a £1,000 retention bonus for jobs brought back from furlough. And we are creating new roles for young people with our Kickstart scheme, introducing incentives for training and apprenticeships, and supporting and protecting jobs in the tourism and hospitality sectors through our VAT cut and last month’s Eat Out to Help Out scheme."
The economy has recovered about half of its lost output but is still 11.7 per cent smaller than its level in February, before the pandemic hit Britain.
Thomas Pugh, an economist with Capital Economics, said the data suggested British GDP would show record-breaking growth in the third quarter after its unprecedented collapse in the April-June period.
"However, July was probably the last of the big step-ups in activity and a full recovery probably won't be achieved until early 2022," he said.
In response, the Bank of England was likely to ramp up its bond-buying stimulus programme by a third, or £250 billion, added Pugh.
BREXIT RISKS BACK
Hopes for a swift rebound have faded as businesses struggle to cope with social distancing rules and many people remain reluctant to travel on public transport or go to crowded places.
Tensions between London and Brussels over a post-Brexit trade deal are also mounting.
Furthermore, unemployment is expected to rise sharply because Sunak has ruled out extending his coronavirus job retention scheme which is due to expire at the end of October.
Parliament's Treasury Committee on Friday urged Sunak to "carefully consider" a targeted extension of the scheme and other support measures.
The pound fell slightly against the dollar as Friday's data showed output in Britain's dominant services sector was a bit weaker than expected, growing by 6.1 per cent in July against expectations for growth of 7 per cent.
This included a 141 per cent jump in accommodation and food as lockdown measures eased, but that sector's output was still 60 per cent lower than its February level.
Growth in the much smaller manufacturing and construction sectors exceeded forecasts.
Complicating the outlook, Brexit risks have resurfaced.
The European Union told Britain on Thursday it should scrap a plan to breach their divorce treaty, but Prime Minister Boris Johnson's government refused and pressed ahead with a draft law that could sink four years of talks.
"We are far from out of the woods yet," Tom Stevenson, investment director (Personal Investing) at Fidelity International, said, pointing to rising Covid-19 infections, new curbs on social gatherings and the end of the furlough scheme.
"Deteriorating relations with the EU make a no-deal Brexit in January more likely, adding to the UK's economic challenges and to downward pressure on the pound."
BRITISH police said they arrested five people on Saturday (30) after masked men tried to force their way into a hotel used by asylum-seekers, a day after the government won a court ruling on the use of another hotel to house migrants.
Two groups of anti-asylum protesters marched to the Crowne Plaza Hotel near Heathrow Airport before some demonstrators tried to break in, London's Metropolitan Police force said.
Two police officers suffered minor injuries, it said.
"We understand strength of feeling on these issues, but where peaceful protest crosses the line into criminality, including injuries to our officers, we will take immediate action," commander Adam Slonecki said in a statement.
In Scotland, protesters also demonstrated against the use of a hotel in the town of Falkirk, where asylum seekers are believed to be housed.
In a separate incident, three men were arrested late on Friday (29) outside another hotel used to house asylum-seekers in Epping in east London.
"The overwhelming majority of people in Epping tonight clearly wanted their voices to be heard and they did that safely and without the need for a police response," said assistant chief constable Glen Pavelin of Essex police.
"However, the right to protest does not include a right to commit crime and tonight a small number of people were arrested. Two officers sustained injuries which are thankfully not serious," he added.
The local authority in Epping is expected to decide on Monday (1) whether to challenge the appeals court decision in the Supreme Court.
At least 13 other councils are also considering pressing ahead with legal action over the use of asylum hotels in their areas, The Times daily reported.
The protests in Epping have spread to other parts of Britain, amid growing frustration at the continued arrival of small boats packed with migrants across the English Channel from France.
The government of prime minister Keir Starmer on Friday won a court ruling that overturned a previous court decision that asylum-seekers would have to be evicted from the hotel in Epping where a resident was charged with sexual assault.
Earlier, Starmer promised to "smash the gangs" enabling migrants to make the journey.
The prime minister posted on X on Saturday: "I am clear: we will not reward illegal entry. If you cross the Channel unlawfully, you will be detained and sent back."
But critics pointed out that more irregular migrants have arrived since the start of January 2025 than in the same period last year.
Tory leader Kemi Badenoch backed Tory-run councils to pursue legal action against migrant hotels.
"Keir Starmer has shown that he puts the rights of illegal immigrants above the rights of British people who just want to feel safe in their towns and communities," Badenoch posted on X.
Concern about immigration has risen to the top of the political agenda in Britain after an increase in migrants using small boats to reach the country.
More than 32,000 migrants were being housed in around 200 hotels across the country at the end of June, according to government figures.
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INDIAN prime minister Narendra Modi reaffirmed his support for a peaceful settlement in Ukraine during a telephone conversation with Ukrainian president Volodymyr Zelenskiy, Modi's office said.
Zelenskiy, speaking in his nightly video address on Saturday (30), said Modi supported Ukraine's call for a ceasefire in the war with Russia and hoped that notion would be heard at the forthcoming Shanghai Cooperation Organisation summit in China.
Modi's office, in a statement, said Zelenskiy shared the Indian prime minister's perspective on recent developments related to Ukraine, while Modi stressed India's support for efforts aimed at the earliest restoration of peace.
"The leaders also reviewed progress in the India-Ukraine bilateral partnership and discussed ways to further enhance cooperation in all areas of mutual interest," it said.
"I have just spoken with Indian prime minister Modi about precisely what is going on. Russia is continuing the war, continuing to kill," Zelenskiy said.
"It is important that the prime minister of India supports the idea that a ceasefire is needed and would be a clear signal that Russia is ready for diplomacy. We are counting on this being heard at the meeting in China."
The statement from Modi's office made no mention of a call for a ceasefire.
Ukraine, backed by European countries, has long called for a ceasefire in hostilities as an important initial step to resolving the conflict.
US president Donald Trump initially urged Russia to agree to a ceasefire, but since his talks this month with Kremlin leader Vladimir Putin in Alaska has said that a ceasefire is not a vital element in moving towards a solution.
Speaking earlier on Saturday after overnight attacks on southeastern Ukraine, Zelenskiy said Moscow had used preparation time for a meeting of leaders of both countries to launch new attacks on his country.
On Friday (29), Zelenskiy brought up Trump's deadline for deciding on new measures against Russia if Putin fails to commit to a one-on-one meeting with the Ukrainian leader.
(Reuters)
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India's prime minister Narendra Modi shakes hands with Chinese president Xi Jinping during a meeting on the sidelines of Shanghai Cooperation Organisation (SCO) Summit in Tianjin, China, August 31, 2025. India's Press Information Bureau/Handout via REUTERS
INDIAN prime minister Narendra Modi said New Delhi was committed to improving ties with Beijing in a key meeting with China's president Xi Jinping on the sidelines of a regional security forum on Sunday (31).
Modi is in China for the first time in seven years to attend a two-day meeting of the Shanghai Cooperation Organisation, along with Russian president Vladimir Putin and other leaders from Central, South and Southeast Asia and the Middle East in a show of Global South solidarity.
"We are committed to progressing our relations based on mutual respect, trust and sensitivities," Modi told Xi during the meeting, according to a video clip posted on the Indian leader's official X account.
The bilateral meeting took place five days after Washington imposed punishing 50 per cent tariffs on Indian goods due to New Delhi's purchases of Russian oil. Analysts say Xi and Modi are looking to present a united front against Western pressure.
Modi said an atmosphere of "peace and stability" has been created on their disputed Himalayan border, the site of a prolonged military standoff after deadly troop clashes in 2020, which froze most areas of cooperation between the nuclear-armed strategic rivals.
He added that an agreement had been reached between both nations regarding border management, without giving details.
Both leaders had a breakthrough meeting in Russia last year after reaching a border patrol agreement, setting off a tentative thaw in ties that has accelerated in recent weeks as New Delhi seeks to hedge against renewed tariff threats from Washington.
Direct flights between both nations, which have been suspended since 2020, are "being resumed", Modi added, without providing a timeframe.
China had agreed to lift export curbs on rare earths, fertilisers and tunnel boring machines this month during a key visit to India by China's foreign minister Wang Yi.
China opposes Washington's steep tariffs on India and will "firmly stand with India," Chinese Ambassador to India Xu Feihong said this month.
For decades, Washington painstakingly cultivated ties with New Delhi in the hope that it would act as a regional counterweight to Beijing.
In recent months, China has allowed Indian pilgrims to visit Buddhist sites in Tibet, and both countries have lifted reciprocal tourist visa restrictions.
"Both India and China are engaged in what is likely to be a lengthy and fraught process of defining a new equilibrium in the relationship," said Manoj Kewalramani, a Sino-Indian relations expert at the Takshashila Institution think tank in Bengaluru.
(Reuters)
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Bashir retired from the force while under investigation but will still face misconduct proceedings. (Photo credit: West Yorkshire Police)
A FORMER West Yorkshire Police officer has been sentenced to two years and three months in prison after being convicted of misconduct in a public office.
Wasim Bashir, 55, who worked as a detective constable in Bradford District, was found guilty of one count of misconduct in a public office for forming a sexual relationship with a female victim of crime. He was sentenced at Sheffield Crown Court on Friday, 29 August.
Bashir retired from the force while under investigation but will still face misconduct proceedings.
The charge related to an incident of abuse of position for a sexual purpose, with Bashir engaging in a sexual relationship with a woman who had reported to West Yorkshire Police that she had been the victim of a sexual offence. He was involved in investigating her case.
The conviction followed an investigation by West Yorkshire Police’s Counter Corruption Unit under the direction of the Independent Office for Police Conduct. During the trial, the judge directed the jury to find Bashir not guilty of a second count of misconduct in a public office.
Detective Superintendent Natalie Dawson, Deputy Head of West Yorkshire Police’s Professional Standards Directorate, said: “For a police officer to pursue a sexual relationship with a vulnerable woman who had come forward to report being victim of a sexual offence is nothing short of abhorrent.
“I want to reassure victims of crime and the wider public that this former officer is not representative of our organisation. One of the Force’s key purposes is to protect vulnerable people, and our officers and staff work tirelessly to protect people from harm and to safeguard victims.
“Former DC Bashir has retired from the organisation, but we will still continue with misconduct proceedings with a view to him being banned from gaining any further employment in the policing profession.”
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Protesters calling for the closure of The Bell Hotel, which was housing asylum seekers, gather outside the council offices in Epping on August 8, 2025. (Photo: Getty Images)
Court of Appeal has overturned injunction blocking use of Epping hotel for asylum seekers.
Judges say human rights obligations outweigh local safety concerns.
At least 13 councils preparing legal action despite ruling.
Protests outside the Bell Hotel lead to arrests and police injuries.
MORE than a dozen councils are moving ahead with legal challenges against the use of hotels for asylum seekers despite the Home Office winning an appeal in the Court of Appeal.
Judges ruled that meeting the human rights of asylum seekers by providing accommodation outweighed local safety concerns.
The injunction was secured by Epping Forest District Council after protests following the alleged sexual assault of a 14-year-old girl by an Ethiopian asylum seeker.
The man has been charged and denies wrongdoing. A full hearing on the planning dispute over the Bell Hotel will take place in October.
At least 13 councils are preparing similar legal action, The Times reported, including Labour-run Wirral, Stevenage, Tamworth and Rushmoor. Epping Forest Council said it may appeal to the Supreme Court.
Asylum minister Dame Angela Eagle said the government remained committed to ending hotel use by 2029 and argued the appeal was needed to move migrants “in a controlled and orderly way”.
Conservative leader Kemi Badenoch criticised the government for prioritising “the rights of illegal immigrants above the rights of British people” and urged councils to continue legal action.
Reform leader Nigel Farage said the government had used the European Convention on Human Rights “against the people of Epping”.
Councils including Broxbourne and Spelthorne confirmed they were pressing ahead with enforcement action on planning grounds.
Protests outside the Bell Hotel on Friday led to the arrest of three men, while two police officers sustained minor injuries.