Economics
U.K. Economy Plunges Into Recession
- GDP fell 5.8% in March; First-quarter saw a 2% decline
- BOE forecasts deep recession followed by strong rebound
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Chancellor of the Exchequer Rishi Sunak warned the U.K. is facing a significant recession after a report showed the economy shrank almost 6% in March.
The sharp decline is only a small part of the damage of the coronavirus lockdown, which was in place for all of April and is set to endure in some form for months to come. The measures heaped misery on an already tepid economy, with the Bank of England foreseeing a staggering 25% contraction this quarter as part of the deepest slump in more than three centuries.