Chief for the Great British economy City, London, faces serious problems, and it threatens with difficulties for the whole country, Bloomberg writes. If the capital fails to succeed, the UK can be a faded empire with too big debts, consider the Resolution Foundation in an independent research organization.
In the third quarter of 2020, London showed the lowest growth rates among the nine regions of England, the data of the Bureau of National Statistics. The small and medium city cities are close to complete recovery, and large behind.
It is the main city of the country, as statistics shows, faced the largest crisis in the labor market during the pandemic period. At the National Institute of Economics and Social Research, it is believed that after completing the employment support program, many jobs will not be able to restore. The unemployment rate in the capital in 2022-2023 will increase to 7.9 percent – compared with 4.5 percent to the coronavirus crisis.
Forecasts for the restoration of the Locomotive of the British economy are not optimistic. Due to the Brexite of the company’s financial services sector move to European capitals, leaving London without billions of dollars of assets and thousands of jobs.
“Restoration at the national level is impossible without restoring London,” Stressed Andrew Carter, head of the Center for Cities. He also added that it was simply not enough to return to the dapendium level: even with the weakening of coronavirus constraints, it will restrain the development of the city will be a high cost of life, lack of financing the scope of public transport, difficulties with obtaining visas for entry.
The British economy as a whole, as the latest official data show, in April recorded a record growth of 26.7 percent at the annual level, Reuters writes. However, it is still 3.7 percent lower than in February 2020 – before the start of the pandemic.
Against the background of Coronavirus Britain, there was a threat of “tsunami closing” of a business: serious difficulties are experiencing the retail sector. In addition to the difficulties caused by a pandemic, the United Kingdom is forced to understand and with the consequences of brekesite, including conducting trade and customs war with the European Union. The issues of deliveries of British products lead to serious conflicts with Brussels.