India  

UK economy shrinks by record 20.4% in April

Video Credit: Reuters Studio - Duration: 01:23s - Published
UK economy shrinks by record 20.4% in April

UK economy shrinks by record 20.4% in April

Britain's economy shrank by a record 20.4% in April from March as the country spent the month in a tight coronavirus lockdown, official data showed on Friday.

Ciara Lee reports

It's being seen as the bottom of the crash, before a long and slow recovery.

Data released on Friday (June 12) revealed Britain's economy shrank by a record 20.4% in April from March.

Like others around the world, the country spent April in lockdown.

In a slump that dwarfed previous downturns in Britain's recent history, the Office for National Statistics also said the economy shrank by 24.5% compared with April last year.

Both readings were worse than the already weak forecasts in a Reuters poll of economists.

And the Bank of England has warned that Britain could be heading for its deepest recession in three centuries.

While other countries in Europe are also seeing contraction, the Organisation for Economic Co-operation and Development said this week that Britain was on course for the worst downturn among the countries it covers.

It forecasts the economy will contract 11.5% this year.

The UK government has unleashed a number of schemes aimed at securing a swift recovery.

Next week much of the country's retail sector is due to reopen with social distancing rules.

The Bank of England governor has said there are signs of a recovery, but warned there was likely to be long-term economic damage.

Next week the central bank is expected to announce a further increase in its bond-buying firepower of at least 100 billion pounds, or about 124 billion dollars.




You Might Like

Related news from verified sources

UK economy shrinks by record 20.4% in April lockdown

Britain's economy shrank by a record 20.4% in April from March as the country spent the month in a...
Reuters India - Published


Related videos from verified sources

Bank of England: Signs that UK economy coming back to life [Video]

Bank of England: Signs that UK economy coming back to life

Governor of the Bank of England Andrew Bailey says there are signs of the UK economy "beginning to come back to life" after the GDP fell by a record-breaking 20.4% in April. Report by Alibhaiz. Like us..

Credit: ODN     Duration: 01:31Published
Argar: UK economy needs to reopen in careful, measured way [Video]

Argar: UK economy needs to reopen in careful, measured way

Health Minister Ed Argar says the government needs to reopen the UK economy in a "careful, measured" way following the latest report from the ONS which shows GDP fell by a record-breaking 20.4% in..

Credit: ODN     Duration: 01:23Published
Economy shrank by a fifth in April as lockdown took hold [Video]

Economy shrank by a fifth in April as lockdown took hold

The UK economy contracted by more than a fifth in the first full month of lockdown, as shops and factories closed and workers were sent home. The Office for National Statistics said that economic..

Credit: PA - Press Association STUDIO     Duration: 00:55Published