UK NEWS: UK GDP growth slowed down in six months as Covid-19 hit visitors

Government restrictions on participation in many parts of the United Kingdom, as well as greater vigilance on the part of some people, have led to a drop in output of 14.4% on the entire residential and restaurant sector.

The British economic recovery was almost halted in October as an increase in coronavirus cases hit the tourist sector, official figures showed Thursday.

Gross domestic product increased by 0.4% per month after rising 1.1% in September, the National Bureau of Statistics said, the weakest growth since production fell in April during the first closing.

Britain has the highest death toll in Europe from Covid-19, with more than 62,000 people, and the worst economic crash in any major economy after a GDP decline of 19.8% unprecedented in the second half of this year.

The result in October was 7.9% lower than in February, before the epidemic hit the British economy, the ONS said, while 8.2% was weaker than in October 2019.

Government forecasters do not expect the economy to regain its pre-Covid size by the end of 2022 and the Organization for Economic Co-operation and Development predicted that Britain’s recovery would be weaker than anywhere else in Argentina.

“The economy continued to grow in October, but at a slower pace. And while the Covid-19 limit may be short-lived, the economy is still in its infancy in a few months, ”said Ruth Gregory, an economist at Capital Economics.

Although the economy prospered quickly after the initial shock of the closure, it gained momentum as Covid’s cases began to rise again in September and accelerated in October.

Government restrictions on participation in many parts of the United Kingdom, as well as greater vigilance on the part of some people, have led to a drop in output of 14.4% on the entire residential and restaurant sector.

Business surveys in October have already shown a slowdown in growth, with many economists speculating that the output came directly in November, when the government imposed a four-week ban on half of England’s closure, which closed down unnecessary shops and many inns.

However, the downtrend is expected to be much lower than the initial closure, where the limits were tight and businesses have less time to adapt.

The end of the post-Brexit transition period will also be a challenge for many businesses from January 1, when retailers will face a new overhaul of the restrictions on goods they want to sell in the EU, as well as potential taxes.

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