Affected by the epidemic, it will take more than two years for the British economy to return to the level before the epidemic. To this end, the U.K. has provided companies with a new £4.6 billion support plan to deal with a new wave of epidemics.
The U.K. epidemic continued to spread, with the death toll exceeding the level of World War II, and the death rate rose by 12.1%. British scholars predict that if the second wave of the epidemic does not reach its peak in the next two weeks, the death toll may soar to 120,000 by March. The continuing outbreak has had varying degrees of impact on various industries in the U.K. Coupled with the sequelae of Brexit, unemployment has become increasingly severe, and the downturn in the market will cause a large number of companies to close.
British Chancellor of the Exchequer Sunak said that more than 250,000 small businesses might face bankruptcy this year, and the current unemployment rate has reached 9.7%.
According to the U.K. Labour Market Report released by Office for National statistics on December 15, 2020: In the past three months to October 2020, the employment rate is estimated to be 75.2%, 0.9% lower than the same period last year. And it was 0.5% lower than in the previous quarter. In the three months to October 2020, the number of layoffs reached a record 370,000, increasing 217,000 in the quarter.
To help companies cope with the economic recession triggered by the latest round of lockdown, the U.K. has provided companies with a new £4.6 billion support package.
The United Kingdom issued the third nationwide lockdown order, which may legally continue until March 31, before gradually unblocking it. While the United Kingdom is enacting legislation on the lockdown order, the enforcement of the lockdown is also escalating.
The United Kingdom stated that anyone who does not wear a mask, organizes a gathering of two or more people, or goes out without a “justified reason” will be fined at least 200 pounds, and those who organize or participate in illegal gatherings of more than 30 people will be fined 10,000 pounds.
The U.K. e-commerce market is likely to see tremendous growth
The U.K. is a country highly dependent on the global supply chain. The production capacity of its local manufacturing industry is insufficient, and many commodities cannot be self-sufficient. Coupled with the intensive blockade, the people began to panic purchases, which prompted the third round of panic buying in the U.K., and even led to the collapse of shopping websites. The queuing system of the e-commerce platform Ocado and the U.K.’s fourth-largest food retailer Morrisons is also packed with thousands of people.
These shopping sites have gradually become overwhelmed and have experienced varying degrees of collapse. Many consumers complained about social media last night that they could not complete Tesco and Sainsbury orders or could not access websites and apps.
Consumers are highly dependent on “Made in China”
It is worth noting that British consumers are highly dependent on many products made in China under the background of economic globalisation. For example, the Times reported not long ago that in the second quarter of this year, Britain’s imports from China surpassed imports from any other country for the first time. Some British people said that British people are relatively frugal in terms of consumption, so they are very fond of Chinese products with good quality and low prices. Over the years, almost all his homes are made in China.
Now, British people generally believe that Chinese goods are cheap and sound, and their products’ reputation has gradually been established.