The empty streets, the home offices or the video chat meetings that are now a regular thing in our lives. They remind us about the new business tendencies and the different routine we all have to face.
The Office for National Statistics (ONS) has issued a detailed report on the way British economy handles the actual situation. Here are some things that changed because of the pandemic:
1. 50% of companies were already in trouble before the quarantine
There are around 4 000 companies in the UK. 45% mentioned their takings were very much below normal during March. They mostly associated this numbers with the coronavirus pandemic. In the meantime, Boris Johnson announced that most non-essential businesses, like gyms, beauty salons, cinemas and cafes must close during the pandemic.
2. Around 25% of companies were going to put staff on the bench for some time
Such a scheme allows organisations to not pay staff, because the government will be covering up to 80% of their wages. The percent will surely rise fast. Other researches have shown that the self-employed citizens who applied for a universal credit have risen by 950 000 during the last two weeks.
Some experts say that this scheme might not be as effective and that the UK unemployment rate could be twice as high during 2020.
3. The price of illness treatment has risen
The need for hand sanitizers and soap ascended. Meanwhile, the ONS mentioned almost 70% of medical businesses said their prices remained the same.
Only 12% mentioned they raised their prices (because of supplying problems). Moreover, the ONS found that cold and flu remedies are now a little more expensive.
4. Many firms have export or import issues
Around 60% of companies can neither import nor export.
Those that can mentioned they still have a lot of problems with doing that. This happens due to the production crisis around the globe.
Because of today's highly linked global supply chains, this could bring up other supply issues for different imported goods.
The ONS report also mentioned that traffic via ports is on stop. Moreover, airlines and the shipping industry are in negotiations with governments, trying to focus on the maintenance of the transport of vital cargo.
