The UK economy will get worse before it gets better, Chancellor Jeremy Hunt has said after figures revealed it shrank further between August and October.
The economy contracted by 0.3% during the three months as soaring prices hit businesses and households and the UK is forecast to be heading into a recession.
He says these figures confirm that this is a very challenging economic situation here and across the world.
Mr. Hunt says the UK was already in recession while adding that this is expected to be officially confirmed at the beginning of next year when economic figures for October to December are released.
It also means that the government receives less money in tax to spend on public services such as health and education.