- 5 updates
As business experts say that today's announcement, that Wales is back in recession, is "disappointing but not surprising' ITV Wales have been finding out how the effects of the downturn are being by some people in Swansea.
As Wales and the rest of the UK are plunged back into recession many experts are blaming a lack of confidence to invest as one of the contributing factors.
The construction sector was the biggest contributor to the decline in GDP, with a 3% fall in the quarter.
This is a bad sign for Wales which has ten thousand construction firms creating a hundred thousand jobs.
Following today's news there are calls for urgent action to help kick start this sector.
"Plaid Cymru has long been warning that Wales was in danger of falling back into recession.
Plaid Cymru has called again and again for capital investment in new schools, hospitals and infrastructure in order to boost the economy, create and protect jobs and protect Wales from this economic storm."
-ALUN FFRED JONES AM, PLAID CYMRU ECONOMIC SPOKESPERSON.
The First Minister has issued the following statement in respons to today’s GDP figures which show the UK economy has slipped back into recession
The UK is back in recession, after a surprise 0.2% contraction in the economy in the first quarter of the year.
The decline in gross domestic product was driven by the biggest fall in construction output for three years, while the manufacturing sector failed to return to growth.
The preliminary estimate, which may be revised later, means the UK is back in a technical recession, defined as two quarters of decline in a row.
The City had predicted the economy would scrape growth of 0.1% after a 0.3% fall in the previous quarter.
But the current downturn is expected to be nothing like as severe as the previous recession of 2008/09, which spanned more than a year.