The Covid-19 Pandemic Pushes Back UK GDP Gains by 18 Years

<p>Between March and April, the UK GDP fell by a quarter as entire sectors of the economy were shut down because of the lockdown. In March, the UK economy lost 6% YoY while in April the GDP additionally shrank by 20.4% compared to March.</p>
<p>Both readings were worse than the unprecedentedly weak estimates from Reuters economists. The Office of National Statistics of Britain said that in 2020, GDP fell to the size of 2002.<br />
“This is a catastrophic recession, on a scale that has never been seen before in history,” said Paul Johnson, director of the Institute for Fiscal Research at the Analytical Center. “The problem is what awaits us next.</p>
<p>British Finance Minister Rishi Sunak said: “Coronavirus has a serious impact on our economy, as well as on many other economies in the world.”</p>
<p>However, the Organization for Economic Co-operation and Development (OECD) said that Britain, with its strong service industry, which has been hit hard by social distance measures, could experience the worst decline among all countries in the Organization, down 11.5% this year.</p>
<p><strong>Disclaimer:</strong> The material provided is for information purposes only and should not be considered as investment advice. The views, information, or opinions expressed in the text belong solely to the author, and not to the author’s employer, organization, committee or other group or individual or company.</p>
<p><strong>High Risk Warning:</strong> CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 73% and 70% of retail investor accounts lose money when trading CFDs with Tickmill UK Ltd and Tickmill Europe Ltd respectively. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.</p>
<p>The post <a rel="nofollow" href="https://blog.tickmill.com/fund-analysis/covid-19-pandemic-pushes-back-uk-gdp-gains-18-years/">The Covid-19 Pandemic Pushes Back UK GDP Gains by 18 Years</a> appeared first on <a rel="nofollow" href="https://blog.tickmill.com">Tickmill</a>.</p>