Finance

Britain on brink of double-dip recession due to Covid

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Britain on brink of double-dip recession because Covid restrictions are ‘squeezing activity’, economists warn

By Daily Mail City & Finance Reporter

Published: | Updated:

Britain is on the brink of a double-dip recession because Covid restrictions are ‘squeezing activity’, economists warn. 

They predict a GDP crash this winter as the second wave bites and jobs are lost. 

'Squeezing activity': Economists predict a GDP crash this winter as the second wave bites and jobs are lost

‘Squeezing activity’: Economists predict a GDP crash this winter as the second wave bites and jobs are lost

George Buckley, from Nomura, said the UK would experience a ‘lopsided W-shaped recovery’ with a ‘second, smaller dip in GDP over the winter’. 

Capital Economics said the economy was taking a worrying turn after purchasing managers’ index scores fell for two months even before restrictions ‘begin to bite’. 

Paul Dales, its chief UK economist, said: ‘The trajectory is worrying and suggests Covid restrictions in September are squeezing activity. It’s not looking good.’

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source: dailymail.co.uk