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UK Economic Update: COVID-19

May 13, 2020 | Business
UK Economic Update: COVID-19

Scenario-based analysis of the potential short-term impacts of COVID-19 on UK economic growth

The government has signalled a modest relaxation to social distancing rules to apply from 13 May, to allow people to leave their homes repeatedly in a single day, and for employees that cannot work from home to return to work, but following social distancing rules and avoiding public transport. Other measures will stay in place however, meaning that restaurants and public venues will remain closed until at least 1st July. 

Ongoing economic uncertainty continues to put pressure on business turnover and investment: According to the Bank of England (BoE)’s Decision Maker Panel Survey, businesses expect their sales to be around 45% lower than normal in 2020 Q2 and business investment 50% lower relative to a pre-COVID baseline. 

 

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