Short and Medium term economic damage from Covid-19

In the UK, the OBR has already predicted that GDP will fall by 35% and, despite the government’s efforts, unemployment is expected to rise by 2 million.

On 19th March, the Bank of England slashed interest rates to their lowest ever level of 0.1% and an extra £200 billion of QE funding was promised.

How long will the lockdown last and what immediate effect is this having on the economy and current productivity?

How quickly might we be able to recover and what will be the most crucial steps to take?

Are there any parallels with the 2008 financial crisis and what can we learn for the future?

The Rt Hon Sir Vince Cable and Sam Bowman discuss these important issues.