UK officially in recession for first time in 11 years


The UK government is said to have been pushed into recession between the months of April and June.

The economy shrank 20.4% compared with the primary three months of the year.

Household spending plunged as shops were ordered to shut, while factory and construction output also fell.

  • This pushed the United Kingdom into its first technical recession – defined as two consecutive quarters of economic decline – since 2009.
    The Office for National Statistics (ONS) said the economy bounced back in June as government restrictions on movement began to ease.

On a month-on-month basis, the economy grew by 8.7% in June, after a growth of 1.8% in May.

The ONS said the collapse in output was driven by the closure of outlets, hotels, restaurants, schools, and car repair shops.

The services sector, which powers four-fifths of the economy, suffered the most important quarterly decline on record.

Factory shutdowns also resulted in the slowest car production since 1954.

The economic decline was concentrated in April, at the peak of lockdown. This inevitably means that there are increasing unemployment, and decreased Gross Domestic Product(GDP). UK are opening up the economy for more production of goods and service as more restrictions are being eased.


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