United Kingdom officially falling in economic recession - Pralipta



Anirban Basu, Gautam Buddha Nagar : United Kingdom officially enters an economic recession with an erosion of 20% of the national gross domestic product. This is the worst economic scenario Europe has seen since the US sub-prime crisis in 2008.

The Bank of England has launched a massive asset buyback and cut the interest rate to almost zero to tackle the money supply so that borrowings and investment is increased. The grim economic situation has already resulted to unprecedented unemployment in Britain. The government has already launched a number of job support schemes to control the massive layoffs.

Bloomberg economists predicted that the GDP of the country will erode by 20% and the recession has been caused due to decline in GDP in successive quarters. The decline in production induced by the Covid-19 related lockdown has taken away almost Seven lakhs of jobs in this year. 
However the Finance Minister Rishi Sunak has said that there may be tough times ahead for many people of the country but he is still hopeful about the turnaround in near future.