As of today, England is now officially in a month-long ‘Lockdown 2’ – with Prime Minister Boris Johnson vowing his government will do “whatever it takes to back business”, reports Reuters.
Speaking in a video address to the Confederation of British Industry (CBI) annual conference, Johnson said: “I know that when the recovery comes – and it will come – it will happen entirely thanks to the efforts of the people who are watching me now.”
More support
Support so far includes £150bn of fresh fiscal stimulus announced by the Bank of England, according to the FT.
Governor Andrew Bailey said further quantitative easing was necessary as consumer spending and investment intentions were both weakening. There is value in acting “quickly and strongly”, he said.
The BoE’s Monetary Policy Committee (MPC) anticipates a slowing of the economy due to restrictions around the second wave of Covid-19, but said it expected an upturn in the first quarter of next year.
The MPC has revised down its growth forecast for the UK over the next three years and does not expect the economy to reach pre-coronavirus levels until the first half of 2022.
Furlough extended
Meanwhile, the Times reports the furlough scheme will be extended not just for Lockdown 2, but also when Tier 3 measures remain in place on the other side.
Boris Johnson confirmed during PMQs today that furloughed workers in Tier 3 areas would continue to receive support.
Robust logistics
Transaction volumes in the UK logistics industry continued to remain strong, increasing by 12.5% in the third quarter of 2020. A quarter of deals wer cross border, according to a report from accountancy firm BDO reported in Business Daily.
“Operators are proving to be exceptionally robust and resilient as they adapt, with a number delivering strong growth,” said BDO M&A partner Jason Whitworth.
