BCC Economic Forecast: Global Turmoil Expected to Hit UK Growth

The British Chambers of Commerce (BCC) has released its latest economic forecast, providing an important snapshot of the challenges facing UK businesses. According to the report, ongoing global uncertainty, particularly the conflict in the Middle East is likely to weigh heavily on growth, drive inflation upwards, and soften labour market conditions.

Exports are expected to grow by just 0.7% in 2026, significantly lower than the previous forecast of 1.8%, as global uncertainty continues to affect international demand and supply chain stability.

These projections highlight the importance of:

• Staying informed on global developments that may impact supply chains and costs
• Reviewing business plans to account for potential inflationary pressures
• Engaging with chamber support services, especially for international trade

Businesses across Suffolk can now get practical support to navigate the impact of the Middle East crisis on international trade, following the launch of a new Diplomatic Advisory Hub backed by the British Chambers of Commerce (BCC) and the Foreign, Commonwealth and Development Office (FCDO).

The Hub has already begun delivering real‑time geopolitical insight to businesses, with senior FCDO officials recently briefing hundreds of firms on the implications of the conflict for costs, energy, logistics, supply chains and risk management. The session also provided guidance to help companies stress test their plans when trading with or through the region.

More details on the Diplomat Advisory Hub can be fund here or you can contact our international team on [email protected].