The most recent UK Economic Outlook from KPMG explores the severity of the recession in the short-medium term, and how a gradual economic recovery hinges on a viable resolution to COVID-19 and the continued need for government intervention.
The end to the nationwide Lockdown has seen output gradually pick up across sectors. However, uncertainty about progress in combating the pandemic and the possibility of a second wave this winter is causing major spending decisions to remain on hold.
The Report outlines three possible scenarios for the pandemic and how they will impact the outlook for the UK economy with the focus of attention on:
- Timing of a vaccine, or effective treatments for COVID-19;
- a potential second wave; and
- the future relationship between the UK and EU, which could see GDP in 2021 oscillate from 8.4% to 4%.
A copy of the detailed report is available via the link above.