- 13th November 2020
- Posted by: Suzy Hill
- Category: Personal Tax, Business News
UK economy rebounds from recession
The UK’s economy bounced back from recession with record growth of 15.5% from July to September, according to the latest data from the Office for National Statistics (ONS).
The return to growth comes after a six-month slump caused by the first coronavirus (COVID-19) lockdown. However, the expansion was not enough to reverse the damage caused by the pandemic.
According to the ONS, the country’s economy is still 8.2% smaller than before COVID-19 struck. In September, growth was 1.1%, marking the fifth consecutive month of expansion. However, that was weaker than the levels seen in previous months.
Commenting on the data, Anna Leach, Deputy Chief Economist at the Confederation of British Industry (CBI), said: ‘Economic growth bounced back strongly over the summer as lockdown was eased. But with lockdowns re-intensifying across the UK’s regions and nations in October and November, we’re likely to see activity fall again over the winter months.
‘Many businesses have adapted their operations already . . . but the second hit to sectors that have already suffered hard may be too much to bear. Additional government support – notably the extension of the Job Retention Scheme – is welcome. And the recent good news on a vaccine gives hope for the future and may give some stimulus to spending.’