UK in recession as coronavirus pandemic sees economy slump
Britain has officially entered into recession after the coronavirus crisis saw the economy contract by a record 20.4% between April and June, the Office for National Statistics has said.
Britain has officially entered into the largest recession on record after figures showed the pandemic sent the economy plunging by 20.4% between April and June.
The Office for National Statistics (ONS) confirmed the UK’s nosedive into recession for the first time since the financial crisis after the record-breaking contraction in the second quarter, which follows a 2.2% fall in the previous three months.
But monthly figures showed the economy bounced back by 8.7% in June, following upwardly revised growth of 2.4% in May, as lockdown restrictions eased.
The ONS said the economy is still a long way off from recovering the record falls seen in March and April after tumbling into “the largest recession on record”.
Jonathan Athow, deputy national statistician at the ONS, said: “The recession brought on by the coronavirus pandemic has led to the biggest fall in quarterly GDP on record.
“The economy began to bounce back in June, with shops reopening, factories beginning to ramp up production and house-building continuing to recover.
“Despite this, GDP in June still remains a sixth below its level in February, before the virus struck.
“Overall, productivity saw its largest-ever fall in the second quarter.
"Hospitality was worst hit, with productivity in that industry falling by three-quarters in recent months.”