Therefore it’s official — the UK has entered the deepest recession since records began.

In the event that you’re under a certain age, this could be your first experience of such a fiscal crisis and also you ’re likely searching for some peace and relaxation in these tumultuous times.

If this ’s true, then we recommend stopping reading today and seeing this movie of Mr Mayhem the paddle boarding goat, since recessions are serious company and are generally a bit crap for everybody.

Is there some fantastic news?

There are a couple of silver linings so let’s start together before we hit you with all the woe.

Now, despite all of the blaring headlines and breaking news alerts, it’s not at all the least bit surprising for the reasons explained succinctly here with a chap on Twitter…

A recession is defined as two consecutive quarters of decline in gross domestic product (GDP), and GDP is basically all the cash that a nation makes by individuals spending and working.

It won’t have escaped your notice that during the lockdown, particularly the first part, spending and working were made incredibly difficult by the fact barely anyone was allowed out of the home. 

We knew that it was coming but won’t make it any less painful. As chancellor Rishi Sunak stated: “I’ve stated before that hard times were ahead, and now ’s figures affirm that hard times are all here. ”

You call that fantastic news?

OK, how about this — take a peek at this graph…

Obviously everybody is freaking out over the piece where it drops off a cliff but if you look only after that you’ll see it actually shot back up again a little bit.

What that shows is the economy bounced back by 8.7percent in June because lockdown limitations eased.

Will it keep on going up?

But but it’therefore improbable. The big jump is largely because of the gap in complete lockdown versus the beginning of phased reopening. Any further lifting of restrictions is not likely to open up to much of the economy as the initial opening of stores, bars and restaurants. 

But another point of hope is that we’ve lived recessions earlier, the past being during the fiscal of 2008.

Thing is, this one is far worse because these ominous red bars clearly show.

Yeah, that’s a great deal of red.

So how long will it take before we’re back to normal?

No one can really say for sure however, experts have warned that Britain faces a “long road ahead” to recovery.

Business groups and economists also cautioned the path of the recovery might not be eloquent, given the danger of another wave and possible further lockdowns, with a jobs crisis as well on the horizon as government support measures come to an end.

Melissa Davies, chief economist at research firm Redburn, stated: “There is a long road ahead of the UK economy to claw back its pandemic losses, all the while facing deflationary headwinds out of considerable quantities of spare capacity and job losses.

“As the furlough scheme rolls off, more stimulation will be needed to support household incomes, not least if infection numbers rise in the fall. ”

He advised PA Media: “The long period of the lockdown in the second quarter, because of the Government’s slow response to Covid-19 in March, followed by its own failure to prevent the virus from spreading from hospitals, was at the source of the market ’s under-performance in the second quarter. ”

He cautioned the rebound will “peter out in the fall ” with further lockdowns likely.

He said: “The planned reopening of schools following month… likely will need to be accompanied with a revived curtailment of economic activity in the services industry.

“Accordingly, we continue to anticipate GDP to be about 5% below its pre-Covid summit at the end of this season. ”

What exactly does this all mean for me?

It’s all a bit bleak to be fair.  Recessions finally have an effect on living standards, however, the full impact will largely be based on the scale of unemployment and how long it takes for businesses and the jobs market to recover.

Britain’s unemployment rate is anticipated to jump when the government concludes its massive job subsidy programme in October.

Therefore, in case you’ve got a job there’s a heightened opportunity you might be laid away and if you’re looking for a job then there are fewer to go round and much more folks going after them.

Last week the Bank of England forecast it would take until the final quarter of 2021 for the economy to regain its previous dimensions, and cautioned unemployment was more likely to grow aggressively.

Employers have already shed more than 700,000 jobs since March, according to tax data.

Again this ’s hard to say but what we really need to avoid is a depression, which is basically a recession but within a span of decades and on a worldwide scale.

The most notable was the branded Great Depression which lasted from from 1929-1939. The US was particularly hard hit and unemployment reached 25 percent.

It took the Second World War and the massive growth in arms production to pull the US out of the depression which obviously also came with its very own downsides.

Can we finish on a positive note?

Did we already mention Mr Mayhem?

Therefore it’s official — the UK has entered the deepest recession since records began.

In the event that you’re under a certain age, this could be your first experience of such a fiscal crisis and also you ’re likely searching for some peace and relaxation in these tumultuous times.

If this ’s true, then we recommend stopping reading today and seeing this movie of Mr Mayhem the paddle boarding goat, since recessions are serious company and are generally a bit crap for everybody.

Is there some fantastic news?

There are a couple of silver linings so let’s start together before we hit you with all the woe.

Now, despite all of the blaring headlines and breaking news alerts, it’s not at all the least bit surprising for the reasons explained succinctly this by a chap on Twitter…

A recession is defined as two consecutive quarters of decline in gross domestic product (GDP), and GDP is basically all the cash that a nation makes by individuals spending and working.

It won’t have escaped your notice that during the lockdown, particularly the first part, spending and working were made incredibly difficult by the fact barely anyone was allowed out of the home. 

We knew that it was coming but won’t make it any less painful. As chancellor Rishi Sunak stated: “I’ve stated before that hard times were ahead, and now ’s figures affirm that hard times are all here. ”

You call that fantastic news?

OK, how about this — take a peek at this graph…

Obviously everybody is freaking out over the piece where it drops off a cliff but if you look only after that you’ll see it actually shot back up again a little bit.

What that shows is the economy bounced back by 8.7percent in June because lockdown limitations eased.

Will it keep on going up?

But but it’therefore improbable. The big jump is mainly because of the gap in complete lockdown versus the beginning of phased reopening. Any further lifting of restrictions is not likely to open up to much of the economy since the initial opening of stores, bars and restaurants. 

But another point of hope is that we’ve lived recessions earlier, the past being during the fiscal of 2008.

Thing is, this one is far worse because these ominous red bars clearly show.

Yeah, that’s a great deal of red.

So how long will it take before we’re back to normal?

No one can really say for sure however, experts have warned that Britain faces a “long road ahead” to recovery.

Business groups and economists also cautioned the path of the recovery might not be eloquent, given the danger of another wave and possible further lockdowns, with a jobs crisis as well on the horizon as government support measures come to an end.

Melissa Davies, chief economist at research firm Redburn, stated: “There is a long road ahead for the UK economy to claw back its pandemic declines, all the while facing deflationary headwinds out of considerable quantities of spare capacity and job losses.

“As the furlough scheme rolls off, more stimulation will be needed to support household incomes, not least if infection numbers rise in the fall. ”

Samuel Tombs at Pantheon Macroeconomics blamed the government’s slow response to Covid-19 for the thickness of the UK’s second-quarter contraction.

He advised PA Media: “The long period of the lockdown in the second quarter, because of the Government’s slow response to Covid-19 in March, followed by its own failure to prevent the virus from spreading from hospitals, was at the source of the market ’s under-performance in the second quarter. ”

He cautioned the rebound will “peter out in the fall ” with further lockdowns likely.

He said: “The planned reopening of schools following month… likely will need to be accompanied with a revived curtailment of economic activity in the services industry.

“Accordingly, we continue to anticipate GDP to be about 5% below its pre-Covid summit at the end of this season. ”

What exactly does this all mean for me?

It’s all a bit bleak to be fair.  Recessions finally have an effect on living standards, however, the full impact will largely be based on the scale of unemployment and how long it takes for businesses and the jobs market to recover.

Britain’s unemployment rate is anticipated to jump when the government concludes its massive job subsidy programme in October.

Therefore, in case you’ve got a job there’s a heightened opportunity you might be laid away and if you’re looking for a job then there are fewer to go round and more folks going after them.

Last week the Bank of England forecast it would take until the final quarter of 2021 for the economy to regain its previous dimensions, and cautioned unemployment was more likely to grow aggressively.

Employers have already shed more than 700,000 jobs since March, according to tax data.

Again this ’s hard to say but what we really need to avoid is a depression, which is basically a recession but within a span of decades and on a worldwide scale.

The most notable was the branded Great Depression which lasted from from 1929-1939. The US was particularly hard hit and unemployment reached 25 percent.

It took the Second World War and the massive growth in arms production to pull the US out of the depression which obviously also came with its very own downsides.

Can we finish on a positive note?

Did we already mention Mr Mayhem?

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