Just at the start of the 1st quarter on the year 2020, our economy dropped by 20%. Now we’re on the middle of the 2nd quarter of the year, Economists fear a bigger decline in the coming weeks.
Chancellor of the Exchequer Rishi Sunak said that it’s likely that our economy would face recession this year, and that we’re already in the middle of it.
The economy came into a standstill on the final quarter of 2019, then dropped to the year’s first quarter pushed by a record fall last March. As figures show, the economy was already in the free fall just 2 weeks into the lockdown.
Such decline mirrors the numbers of the 2008 Global recession. A year and a half’s decline into that financial crisis is almost equal to what we lost in just a month.
Fueled by eager lenders and debt-burdened consumers and businesses, the government had to put severe measures that were felt through years.
As Coronavirus cripples our economy, Chancellor Sunak said that the economy needs stronger intervention on the economy, with growing unemployment and businesses losing revenue.
According to a recent data from Morgan Stanley, up to £37.6 bn were claimed as trade claim insurance due to the Coronavirus.
With this rate of claim, insurers warned that government that they would not survive with the large claim from businesses that are unable to pay its bills.
Recovery. As the lockdown slowly eases, slowly but surely, some employees are now urged to return to their work. “Sectors allowed to be open, should be open”, the government says. These industries include manufacturing, construction, and food production.
I Will Survive!
We’re now on an era considered as the “new normal”. We might be back on track as the lockdown is slowly lifted, but with an enemy that we can’t see, it’s hard to fully recover.
Pubs, cafes and restaurants Little by little, are now opening, provided that staff and customers observe 2 m. social distancing. Also, food services partner with online delivery platforms to serve you food that you like at the comfort of your home, safe and sure.
Internet We see also a rise on consumption on media-services providers such online movie streaming apps, and music streaming apps, as people are isolated in their homes. According to Nielsen, streaming services has increased it’s share in audience viewing from 24% to 15%.
Work From Home Employers are now searching ways on making the workforce productive and helping employees keep their jobs. Twitter announced last May 12, 2020, that their employees will be allowed to work from home even beyond the pandemic. Signaling a shift on industries leaning more on remote working
Schools Same as employers, schools also are shifting towards online classes. Worldwide, we’ve seen also a rise on online tutorials and short courses during the lockdown. Primary Schools will reopen ‘at the earliest’ on June 1, as part of his’conditional plan’ for reopening the UK.
We will all recover in this pandemic. Sooner, or later, we’ll be back on track. I’d like to leave you with Gloria Gaynor’s I Will Survive. Stay Strong!