UK making V-shaped recovery insists Bank of England economist
By Rob Freeman | 21st July 2020
The UK economy is growing by about one per cent a week as it begins a V-shaped recovery, according to the Bank of England's chief economist.
Andy Haldane told the Treasury Select Committee that the country had reduced the fall in output during March and April by around half.
He said: "Roughly half of the roughly 25 per cent fall in activity during March and April has been clawed back over the period since.
"We have seen a bounce back, so far it has been a V. That, of course, doesn't tell us about where we might go next."
While the latest figures for May indicate an increase in the economy of 1.8 per cent, Mr Haldane includes data such as Google searches and credit card receipts in his figure.
Although his view of the recovery was positive, he repeated his concerns over rising unemployment, putting the rate at about six per cent rather than the official figure of 3.9 per cent.
"The latest numbers about unemployment are questionable and are certainly understating," he said.
"By no means, is the UK out of the woods on activity or jobs, but materially better than we would have expected two or three months ago."
He was speaking at a hearing to confirm his place on the Bank of England's Monetary Policy Committee.
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