• UK
  • World
    • USA
  • Entertainment
    • Celeb
    • Showbiz
    • Magazine
  • Politics
  • Sports
  • Gaming
  • Tech
  • Science
    • Education
  • Insurance
  • Business
  • Auto
  • ToS/Contact
    • ToS
    • Privacy Policy
    • Contact
NewsExplored
  • UK
  • World
    • USA
  • Entertainment
    • Celeb
    • Showbiz
    • Magazine
  • Politics
  • Sports
  • Gaming
  • Tech
  • Science
    • Education
  • Insurance
  • Business
  • Auto
  • ToS/Contact
    • ToS
    • Privacy Policy
    • Contact
  • Facebook

  • Twitter

  • LinkedIn

  • Tumblr

  • RSS

UK

Downturn less severe than feared – Bank of England

Downturn less severe than feared – Bank of England
Newsexplored
6th August 2020
5
SHARES
ShareTweet
SubscribeRedditGoogleWhatsappStumbleuponPinterestDiggLinkedinTumblrTelegram
Views:
2
A man wearing a mask walks past the Bank of England in LondonImage copyright Dan Kitwood
Image caption A man wearing a mask walks past the Bank of England in London

The UK economy faces a less severe downturn but slower recovery from the coronavirus pandemic, according to the Bank of England.

It expects the economy to shrink by 9.5% in 2020.

While this would mark the biggest annual decline in 100 years, it compares with an initial estimate of a 14% contraction.

However, the Bank warned that the jobs market recovery would take longer as it held interest rates at 0.1%.

In its first official forecast since the pandemic hit, the Bank said the recovery had been “earlier and more rapid” than it had assumed in May, reflecting a faster easing of lockdown restrictions.

It said spending on clothing and household furnishings was now back to pre-Covid levels, while consumers have carried on spending more on food and energy than before the lockdown.

However, it said leisure spending and business investment remained subdued, which would weigh on the recovery.

Slower recovery

The Bank said the outlook for growth was “unusually uncertain”, It expects the UK economy to grow by 9% in 2021, and 3.5% in 2022, with the economy expected to get back to its pre-Covid size at the end of 2021.

This compares with growth estimates of 15% and 3% respectively, in a scenario set out in May.

Unemployment is expected to rise “materially” to 7.5% at the end of this year as government-funded support schemes come to an end.

Average earnings across the economy are expected to shrink for the first time since the financial crisis.

data-ad-format="auto">

The Bank’s latest forecasts are based on the continued easing of nationwide lockdown measures and a smooth transition to a new EU free trade agreement at the start of 2021.

Share this:

  • Click to share on Twitter (Opens in new window)
  • Click to share on Facebook (Opens in new window)
  • Click to share on Google+ (Opens in new window)
  • Click to share on LinkedIn (Opens in new window)
  • Click to share on Tumblr (Opens in new window)
  • Click to share on WhatsApp (Opens in new window)
  • Share on Skype (Opens in new window)

Related

Related Itemsdownturnenglandfearedsevere
UK
6th August 2020
Newsexplored @newsexploredweb

Related Itemsdownturnenglandfearedsevere

More in UK

  • Read More
    The Papers: ‘Hope in the post’ as ‘5 million more offered jab’

    Views:2 By BBC NewsStaff image captionCovid vaccination progress leads Monday’s front pages, as over-70s and clinically extremely...

    Newsexplored 6th August 2020
  • Coronavirus: Concerns over bosses breaking Covid safety rules

    Views:2 The Observer reports that no companies have been prosecuted and fined for breaking workplace coronavirus safety rules since the start of the latest national lockdown in England, although a spokeswoman for the HSE said figures on enforcement action, which can include verbal advice or a written warning, cannot be verified until...

    Newsexplored 6th August 2020
  • Read More
    Sutton Hoo: The Anglo Saxon treasures that inspired The Dig starring Ralph Fiennes

    Views:2 image copyrightNetflix image captionCarey Mulligan as Sutton Hoo landowner Edith Pretty with Ralph Fiennes as archaeologist...

    Newsexplored 6th August 2020
  • Read More
    The Papers: ‘Quarantine hotels’ and jab for over-18s ‘by June’

    Views:2 By BBC NewsStaff image captionSunday’s front pages include details of the government’s plans for Covid vaccinations...

    Newsexplored 6th August 2020
  • Read More
    Scotland’s papers: UK shuts borders and vaccine ‘wastage’ concerns

    Views:2 image captionThe Times reports that Prime Minister Boris Johnson has suspended all of Britain’s quarantine-free travel...

    Newsexplored 6th August 2020
  • Read More
    Aerial photos capture ‘tree of life’ structures in Norfolk and Suffolk

    Views:2 By Martin BarberBBC News, East image copyrightMike Page image captionThe ‘trees’ are created in the mudflats...

    Newsexplored 6th August 2020
  • Read More
    Covid-19: Is Northern Ireland winning the battle against the virus?

    Views:2 By Eunan McConvilleBBC News NI image copyrightGetty Images The coronavirus pandemic has brought with it an...

    Newsexplored 6th August 2020
  • Read More
    The Papers: ‘Fortress Britain’ and ‘modern miracle workers’

    Views:2 By BBC NewsStaff image captionA decision to close all travel corridors to the UK from Monday...

    Newsexplored 6th August 2020
  • Read More
    Covid: Will mass community testing be offered across Wales?

    Views:2 image copyrightGetty Images image captionHundreds queued around the leisure centre in Merthyr Tydfil to get tested...

    Newsexplored 6th August 2020
  • Read More
    Belfast Multi-Cultural Association fire ‘was deliberate hate crime’

    Views:2 media captionThe Belfast Multi-Cultural Association was working to serve the community, says Muhammed Atif Police have...

    Newsexplored 6th August 2020
  • Read More
    How did debut artist Olivia Rodgrigo break chart records?

    Views:2 By Mark SavageBBC music reporter image copyrightOlivia Rodrigo / Instagram image captionThe newcomer’s single overtook Ed...

    Newsexplored 6th August 2020
  • Read More
    Wales bringing in new safety rules for shops

    Views:2 media captionCovid lockdown: Are supermarkets following the rules? New laws for shoppers and staff are to...

    Newsexplored 6th August 2020
Scroll for more
Tap
data-ad-format="auto">
NewsExplored

NewsExplored - Making sure all the latest news is explored?

Contact us for help

  • Popular

  • Latest

  • Comments

  • New coronavirus variant: What do we know?
    UK20th December 2020
  • Trump pardons two convicted by Russia investigation
    USA23rd December 2020
  • Kieran Trippier suspended for 10 weeks over breaches of betting rules
    Sports23rd December 2020
  • The Papers: UK and EU on ‘verge’ of Brexit trade deal
    UK23rd December 2020
  • Trump impeachment: When will he go on trial in the Senate?
    USA16th January 2021
  • Joe Biden unveils $1.9tn US economic relief package
    USA15th January 2021
  • How much can Joe Biden get done on the US economy?
    USA14th January 2021
  • Could Liz Cheney spark a revolt?
    USA13th January 2021
  • Les Rehrer says:

    Hello Its me :P and thanks for this post

  • optumrx login says:

    Thank For News.

  • Kent Laatsch says:

    Please let me know if you're looking for a writer…

  • Bob says:

    RT News was where I learned that Erdogan controlled isis.…

Copyright © 2018 Top News Theme. Theme by MVP Themes, powered by Wordpress.

Coronavirus: Safety concerns halt use of 50 million NHS masks
Grace Millane killer appeals against conviction and sentence
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.Ok