Asset managers warn that a double-dip recession is "increasingly" on the cards for Britain and that the road to recovery "will be fraught with challenges" as the pandemic continues to hit the economy.
The UK economy shrank by 2.6% in November as it took a hit from restrictions put in place to contain the Covid-19 pandemic and is now on the path of a double-dip recession. Richard Pearson, director at investment platform EQi, said the numbers have "reignited fears for the first double-dip recession since the mid-1970s" for the first quarter of 2021. He added: "The economy was already nearly 5% smaller at this point than at the beginning of 2020, so further contraction is calamitous." For Pearson, "it's clear the road to recovery for our economy will be fraught with challenges." ...
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