The UK Lockdown could hit the borrowing balloon for the 2020/2021 financial year past £450 billion and predicts the latest coronavirus restrictions could cost the country £400 million every working day.
Chancellor Rishi Sunak announced a new £4.6 billion plan to help businesses through a new lockdown, including one-off top-up grants up to £9, 000 for retail, hospitality, and leisure venues.
According to the Centre of Economics and Business Research predicts if the lockdown is lifted in mid-February it will have cost the UK £390 million every working day.
The UK economy will have a challenging start to 2021 with a modest contraction in the first quarter which could result in a double-dip recession, the first since 1975 when the banking sector was in crisis following a series of strikes across the country.
The country recovered slightly in the third quarter as lockdown restrictions were eased as Mr. Sunak introduced the popular Eat Out to Help Out scheme to encourage people to spend.