The economy is in unchartered territory

12 Aug 2020

This chart from @ONS puts today's GDP figures in some perspective. You can barely see the great recession of 2008-09 on this scale.

This is unchartered territory that we're in said Ellen Nicholson SW Wilts Lib Dem's spokesperson.

After resisting the launch of lockdown until later than other countries around the world and relaxing controls at a slower pace, the ONS said the UK had plunged into the deepest decline of any G7 nation in the second quarter. The downturn is also deeper than any other country in the EU and surpassed a 12.1% quarterly drop in the eurozone.

Liberal Democrats have been clear in warning that the government was making a historic mistake by winding down the furlough wage subsidy scheme as the country falls into recession.

Acting Leader of the Liberal Democrats Ed Davey said:

"Minister must take immediate action to save jobs and livelihoods as the true economic impact of Covid-19 comes to light.

"The Treasury must explain how it is going to stop mass redundancies when the furlough scheme wraps up. It simply cannot be the case that jobs saved in Spring disappear in the autumn. The Chancellor must also be bold about creating new jobs by undertaking a proper ambitious green recovery.

"The Prime Minister must immediately work with EU allies to remove the January Brexit cliff edge. A bad deal or no deal at all with our closest trading partners whilst we are in a deep recession will add insult to injury in our economy and cost many more livelihoods."

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