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Economic impact as more coronavirus restrictions eased: expert comment from Professor Abhinay Muthoo

With the UK Government further easing coronavirus restrictions this week, Professor Abhinay Muthoo from the Department of Economics discusses the economic impact that the latest measures are likely to make.

Professor Muthoo said: “The UK Government continues to ease coronavirus restrictions. In particular, from this morning, quarantine rules for travellers arriving in the UK from many countries have been relaxed, and from this weekend, open air concerts, theatre performances and grassroots sports can take place. Beauty salons can open from Monday, and indoor gyms and swimming pools from later this month.

“With infections in the UK falling, getting the UK economy moving, and supporting businesses and people’s livelihoods, is now a priority. Such further easing of restrictions - but still with social distancing measures firmly in place - will of course help the UK economy recover, which is on the verge of entering a recession. As to what extent it will help remains to be seen over the coming weeks and months. That will depend amongst other factors on consumer confidence, which in turn will depend on how the infection rate changes in the coming period. So, it is critical that the government continues to keep one eye firmly on the health crisis - as the virus is still very much around - as it continues to open the UK economy. It must for example continue to develop its test-and-trace capacity, and its strategy for potential local lockdowns.

“The Director-General of WHO announced this week that the pandemic is still accelerating across many parts of the world, and that too should inform UK Government policy and strategy, on both the economy and the health crisis.”

19 July 2020


Peter Thorley
Media Relations Manager (Warwick Medical School and Department of Physics)


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