Consumer confidence has crashed down to its lowest point since the huge financial crisis, with lockdown costing the country around £2.4 billion a day.
Some events in recent times have been compared to the financial crisis.
Businesses have undoubtedly been prevented from working as normal during this time, as hotels, restaurants, cleaning services, and museum outputs will halve, according to economists. This “shutdown” of the economy is set to reduce the countries GDP by around 31% the latest statistics show.
When GFK asked consumers whether it was a good time to make a big purchase such as house furniture, the household reading fell far further than in 2008, the year of the crisis, to -52. Every single other measure that makes up the consumer confidence index seems to have fallen also.
Joe Staton, of GFK, said: “Despite record grocery sales and recent peaks for purchases of freezers, TVs and home-office equipment as people prepared for a long period in the home, the major purchase index is down 50 points — a stark picture for some parts of the retail industry.”
Food and grocery sales obviously only make up a certain amount of money the country generates, and with people not buying as many expensive products, economists say this paints a “stark picture.”
Also, despite The Bank of England’s lack of funding to the Governments Coronavirus rescue efforts, sources say even with a lot going on behind the scenes, the bank still remains “in full control” during these uncertain time’s.
