Bank of England Monetary Policy Report May 2020
Bank of England
7 May 2020
Coronavirus / COVID-19 Latest report from the Bank of England includes economic outlook predictions and likely scenarios in wake of COVID-19.
An illustrative scenario for the economic outlook (p12) Key predictions include
- GDP likely to drop by 14% in 2020, but are predicted to rise again by 15% in 2021
- Household consumption to drop by 14% in 2020, but also predicted to rise by 15% in 2021
- Household saving ratio to rise to 17% (Annual average, based on percentage of total available household resources.)
- Unemployment rate likely to rise from 4% in 2019 to 8% in 2020 (similar to the rate post-2008 recession) and 7% in 2021, but to then slowly drop back down again to 4% in 2021.
Last modified on 18 May 2020
