The UK has officially fallen into a recession for the first time in 11 years.
The economy shrank by 20.4 percent between April and June compared with the first three months of the year, according to new data from The Office for National Statistics (ONS). It marked the economy’s largest slump on record.
The figures showed that the economy bounced back by a slightly better than expected 8.7 percent in June as lockdown measures were eased and retailers could reopen. Retail sales volumes grew by 13.9 percent in the month.
But the ONS warned there was still a way to go. “The recession brought on by the coronavirus pandemic has led to the biggest fall in quarterly GDP on record,” ONS deputy national statistician Jonathan Athow said in a statement. “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.”
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