UK economy faces recession if Strait of Hormuz remains closed, EY warns

EY has issued a warning that the UK economy could enter a recession next year if the Strait of Hormuz remains closed due to ongoing conflict. The consultant's latest economic outlook projects that the UK's gross domestic product (GDP) could sharply slow to 0.5% this year and contract by 0.2% in 2027 if the vital waterway, through which a fifth of the world's oil and gas passes, stays shut until early or mid-2027.