The UK economy is shrinking at the fastest pace since the financial crisis
the UK Economy is falling at the fastest pace since the financial crisis of 2008 in the first quarter, against the backdrop of lock industry because of the pandemic.
Office for national statistics in London reported that over the three months to March 2020, the economy contracted by 2% after zero growth in the last quarter of 2019.
Analysts expect more economic decline and double-digit fall in gross domestic product (GDP) of the UK in the current quarter.
Ruth Gregory, senior British economist at Capital Economics, says the figures show that the UK economy "is already in free fall for two weeks after taking the lock in effect".
She added: "With the introduction of restrictions until mid-may, and then only marginally taken, the APR will be much worse."
While analysts expected a more significant quarterly fall of 2.6% in the first three months of the year, it still represents the largest reduction since the end of 2008, when the collapsed U.S. Bank Lehman Brothers.
France and Italy are faced with a much larger contraction of the economy by 5.8% and 4.7% respectively in the first quarter.
the Bank of England has warned that this year the UK economy is likely to undergo the most significant decline over the entire history of observations, even if by the end of September the lock is completely removed.
Although the Bank said the economy could shrink by 14% by the year 2020, it expects that the recession will be short and sharp, with expected growth of 15% in 2021.
it is also Expected that the recession will be shorter than during the financial crisis when the economy contracted for five consecutive quarters.