13 August
The UK economy is entering recession, having recorded its biggest contraction in history in Q2 due to the Covid-19 pandemic.
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The lockdown measures implemented due to the Covid-19 pandemic caused the UK GDP to contract by 20.4% in the second quarter of 2020.
Stephany Griffith-Jones, an economist specialising on financial crises, tweeted on how the GDP contraction of the UK economy at 20.4% is in line with the estimates provided by the Bank of England at 21%.
The tweet also includes a comparison of the GDP contraction across the world in Q2.
Contraction of the UK GDP is the worst compared to other countries and is second only to Spain and twice as severe as the US.
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By GlobalDataHowever, some economists believe that the worst is over and the economy is showing signs of recovery.
Linda Yueh, an economist at the University of Oxford, tweeted on the UK officially entering the largest recession for the first time in 11 years.
A video in the tweet includes views expressed by Rupert Harrison, an economist, on how the recession is deeper than expected but the economy is showing signs of a V-shaped recovery.
The majority of the sectors that were impacted by the lockdown measures are shown to be bouncing back.
However, Harrison added that the full recovery of the economy and decline in unemployment still remains uncertain.
