U.K. Economy Unexpectedly Shrinks in March: The London Rush

(Bloomberg) — Here’s the key business news from London this morning.

GDP : The U.K.’s economy unexpectedly contracted in March as the cost of living squeeze saw consumers cut back on spending.

Gross domestic product fell 0.1% from February, when growth was flat, according to data released by the Office for National Statistics

BT Group Plc: The telecommunications company has agreed to transfer the operating businesses of BT Sport to Warner Bros.

Discovery Inc, as part of a new 50:50 joint venture for sport broadcasting in the UK & Ireland.

The British company will receive £93 million as part of the deal with the opportunity to earn about £540 million more if conditions are met

Hargreaves Lansdown Plc: The retail investment company reported lower net new business inflows than expected in the third quarter, pointing to “unprecedented” macroeconomic and geopolitical events impacting investor confidence

The company reiterated their guidance for this year, and raised their revenue margin on cash expectations to 30-35bps as the impact of base rate rises start to come through

Outside The City

Boris Johnson will spend the next few days considering whether the UK will introduce legislation to override its post-Brexit settlement with the European Union. He will hold further discussions with Foreign Secretary Liz Truss after she meets EU negotiator Maros Sefcovic in Brussels Thursday.

The Bank of England will have to raise interest rates further to control surging prices, and there’s a risk that the UK’s worst inflation crisis in decades will take longer to ease fully, Deputy Governor Dave Ramsden told Bloomberg.

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