The Office for National Statistics said the economy shrank by 0.3pc in the first quarter and not 0.2pc as it reported in April. Economists had expected the ONS to maintain its first estimate.
The downward revision meant the British economy was 0.1pc smaller than it was a year earlier. The ONS previously estimated gross domestic product was flat on an annual basis.
It was a blow for George Osborne, who has repeatedly defended his unwavering austerity drive despite its impact on growth.
A combination of austerity and the eurozone debt crisis are expected to weigh further on the British economy in the coming months.
Howard Archer, chief UK economist, described the data as “very disappointing”.