Alternative Africa

Top Menu

  • Home
  • About Us
  • Privacy Policy
  • Terms of Use
  • Contact Us

Main Menu

  • Home
  • Arts & Culture
  • Business
  • Environment
  • Politics
  • Sports
  • Reports
    • Africa-Observers
      • Read Reports
      • Submit a story
  • MORE
    • Health
    • News Now
    • World
    • Technology
Sign in / Join

Login

Welcome! Login in to your account
Lost your password?

Lost Password

Back to login
  • Home
  • About Us
  • Privacy Policy
  • Terms of Use
  • Contact Us

logo

Alternative Africa

  • Home
  • Arts & Culture
  • Business
  • Environment
  • Politics
  • Sports
  • Reports
    • Africa-Observers
      • Read Reports
      • Submit a story
  • MORE
    • Health
    • News Now
    • World
    • Technology
  • Antibiotics made from Cannabis could be available within five years-UK Neurologist

  • COVAX to pay compensation for any harmful side effects of covid vaccine

  • China donates 200,000 doses of China-made vaccine Sinopharm to Sierra Leone

  • Scientists discover the fossil of 66-million years old Coelacanth fish in Morocco

  • Morocco receives additional one million doses of AstraZeneca vaccines as vaccination nears 3m

BusinessHealthNews NowWorld
Home›Business›UK economy heading for double-dip recession after lockdown 2

UK economy heading for double-dip recession after lockdown 2

By alternativeafrica
November 20, 2020
249
0
Share:

London, Nov. 20, 2020 (AltAfrica)-Britain is on course for a double-dip recession as renewed lockdown measures to try and quell a second wave of the coronavirus pandemic deliver another hammer blow to economic activity, a Reuters poll found.

UK economy heading for double-dip recession after lockdown 2

Having already suffered the highest COVID-19 related death toll in Europe, Britain – like much of Europe – is suffering a resurgence in the spread of the coronavirus and has reimposed strict restrictions on economic activity.

With much of the country’s dominant service industry forced to close for most of November the economy was expected to contract 2.5% this quarter, a stark reversal from the 2.6% growth predicted last month.

No respondent expected growth this quarter whereas last month 94% of forecasters polled did.

Boris Johnson forced to self-isolate for 14 days after being told by the NHS app / PA

“Restrictions have dampened our near term economic assessment materially; we now look for a contraction in Q4 GDP,” said Philip Shaw at Investec.

READ ALSO: AS VIRUS RAVAGES EUROPE, EU TO APPROVE PFIZER-MODERNA COVID-19 VACCINES THIS YEAR

Following an historic 19.8% contraction in the second quarter the economy was expected to shrink 11.0% this year and expand 5.3% in 2021, much worse than the respective -10.1% and +6.1% pencilled in last month, the November 16-19 poll of over 70 economists found.

The downgrade comes despite news of successful vaccine trials which has sent stock markets back to record highs.

“Output will remain well below pre-recession levels for some time to come and even if a vaccine becomes available in the course of 2021 it could still take the better part of four years for output to reach late-2019 levels,” said Peter Dixon at Commerzbank.

Earlier this month the Bank of England ramped up its stimulus to support the economy, increasing its bond buying programme by an additional 150 billion pounds, and said it was still looking into the pros and cons of taking interest rates negative.

But Bank Rate was not expected to move from its record low of 0.10% until 2024 at least and only five of the more than 60 economists polled had a negative print across their forecast horizon.

Britain faces the additional headache of Brexit as its informal European Union membership, known as the transition period, following its departure from the bloc, is due to finish at the end of the year and the two sides have yet to agree terms for their future trading relationship.

Amid fears Brexit negotiations are dragging, Europe’s leaders are set to demand the European Commission publish no-deal plans and diplomats have warned Britain time was fast running out for a deal.

But hopes for a deal have been fuelled by recent positive comments from British government officials and also by the announcement Dominic Cummings, one of the political architects of the Brexit project, was set to leave the government.

There is a median 40% chance of a no-deal Brexit, the poll found, unchanged from October’s survey, and as in all Reuters polls since the June 2016 decision to leave the bloc, it said the most likely outcome was still some form of free trade agreement.

“The chances of a Brexit deal seem to be rising,” said Holger Schmieding at Berenberg.

“Although the tough three issues – fisheries, level playing field, dispute settlement mechanism – have reportedly not been (fully) settled, negotiators are working hard.”

SHARE ON:
TagsDouble-Dip RecessionLockdown RestrictionUK Economy
Previous Article

As virus ravages Europe, EU to approve ...

Next Article

WHO warns against using antiviral drug, remdesivir ...

0
Shares
  • 0
  • +
  • 0
  • 0
  • 0
  • 0

alternativeafrica

Related articles More from author

  • HealthNews NowWorld

    London placed under tighter restrictions from Friday night after upsurge in covid-19 cases

    October 15, 2020
    By alternativeafrica
  • AfricaHealthNews Now

    South Africa removes nearly all restrictions on economic activities despite 11,660 covid-19 deaths, 583, 653 cases

    August 16, 2020
    By alternativeafrica
  • AfricaHealthNews Now

    South Africa relaxes more restriction despite reaching 12,000 covid-19 cases

    May 14, 2020
    By alternativeafrica
  • HealthNews NowWorld

    Despite lockdown, Europe records staggering number of covid-19 cases

    November 8, 2020
    By alternativeafrica
  • News Now

    Nigeria: NAPTIP arrests Sweden-based Nigerian for allegedly ‘buying’ baby

    September 21, 2018
    By alternativeafrica
  • News NowWorld

    Saudi Arabia abolishes death penalty for crimes by minors

    April 27, 2020
    By alternativeafrica

Leave a reply Cancel reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

You might be interested

  • BusinessNews Now

    Nigeria: Innoson to construct armoured vehicles for Police

  • AfricaBusinessNews Now

    Stop giving bribes for licenses, passports, they are your rights-VP Osinbajo counsels Nigerians

  • AfricaHealthNews Now

    Rwandan president Paul Kagame, First Lady join locals for community service day

Timeline

  • February 26, 2021

    Antibiotics made from Cannabis could be available within five years-UK Neurologist

  • February 26, 2021

    COVAX to pay compensation for any harmful side effects of covid vaccine

  • February 26, 2021

    China donates 200,000 doses of China-made vaccine Sinopharm to Sierra Leone

  • February 25, 2021

    Scientists discover the fossil of 66-million years old Coelacanth fish in Morocco

  • February 25, 2021

    Morocco receives additional one million doses of AstraZeneca vaccines as vaccination nears 3m

  • Popular

  • Comments

  • Lagos govt confirms first case of deadly coronavirus infection in Nigeria

    By alternativeafrica
    February 28, 2020
  • Keynote Address of President Nana Addo Dankwa Akufo-Addo at 2018 Oxford Africa Conference

    By PSJ Africa
    May 14, 2018
  • Morocco begins regional integration by connecting Casablanca Airport with High Speed Train

    By alternativeafrica
    January 4, 2020
  • Kenyan govt pressure Facebook for data on Kenyan users

    By alternativeafrica
    November 20, 2019
  • Nigeria: 32,000 capacity Lagos rice mill to start production in 2020

    By alternativeafrica
    December 23, 2019
  • Ado zagi
    on
    January 12, 2021

    Nigeria: EFCC Academy to begin award of degree

    Diploma leave areply from
  • Ethiopia joins Africa's Artificial Intelligence revolution | Alternative Africa
    on
    October 2, 2020

    Spending on Artificial Intelligence Systems in Africa, Middle East to top $374 million in 2020

    […] Many African countries ...
  • The 5 most popular Africans 2020
    on
    September 25, 2020

    Celebrating Congolese doctor Jean-Jacques Muyembe, the man behind breakthrough of Ebola cure

    […] Dr. Jean-Jacques Muyembe ...
  • Millitants in Central Mali Set Jail Ablaze in Attack Killing Two | taktik(z) GDI (Government Defense ...
    on
    August 11, 2020

    Fifteen gendarmes killed in another attack on Mali camp

    […] attack fol­lowed a January ...
  • Millitants in Central Mali Set Jail Ablaze in Attack Killing Two
    on
    August 11, 2020

    Fifteen gendarmes killed in another attack on Mali camp

    […] attack followed a ...
AlternativeAfrica.com is an independent Pan African News Website dedicated primarily to influencing the negative narratives about Africa. We hope to do this by focusing and showcasing the many developmental strides sweeping across the continent.

Read more >>>

Contact Info

  • info@alternativeafrica.com
  • Recent

  • Popular

  • Comments

  • Antibiotics made from Cannabis could be available within five years-UK Neurologist

    By alternativeafrica
    February 26, 2021
  • COVAX to pay compensation for any harmful side effects of covid vaccine

    By alternativeafrica
    February 26, 2021
  • China donates 200,000 doses of China-made vaccine Sinopharm to Sierra Leone

    By alternativeafrica
    February 26, 2021
  • Scientists discover the fossil of 66-million years old Coelacanth fish in Morocco

    By alternativeafrica
    February 25, 2021
  • Lagos govt confirms first case of deadly coronavirus infection in Nigeria

    By alternativeafrica
    February 28, 2020
  • Keynote Address of President Nana Addo Dankwa Akufo-Addo at 2018 Oxford Africa Conference

    By PSJ Africa
    May 14, 2018
  • Macron in Ivory Coast to launch anti-terrorism academy

    By alternativeafrica
    December 21, 2019
  • Kenyan govt pressure Facebook for data on Kenyan users

    By alternativeafrica
    November 20, 2019
  • Ado zagi
    on
    January 12, 2021

    Nigeria: EFCC Academy to begin award of degree

    Diploma leave areply from
  • Ethiopia joins Africa's Artificial Intelligence revolution | Alternative Africa
    on
    October 2, 2020

    Spending on Artificial Intelligence Systems in Africa, Middle East to top $374 million in 2020

    […] Many African countries ...
  • The 5 most popular Africans 2020
    on
    September 25, 2020

    Celebrating Congolese doctor Jean-Jacques Muyembe, the man behind breakthrough of Ebola cure

    […] Dr. Jean-Jacques Muyembe ...
  • Millitants in Central Mali Set Jail Ablaze in Attack Killing Two | taktik(z) GDI (Government Defense ...
    on
    August 11, 2020

    Fifteen gendarmes killed in another attack on Mali camp

    […] attack fol­lowed a January ...

Photostream

    Follow us

    • Home
    • About Us
    • Privacy Policy
    • Terms of Use
    • Contact Us
    © Copyright Alternative Africa 2019. All rights reserved.