UK | More signs of an economy healing
Recent survey and high-frequency data have boosted hopes that the economy is in the early stages of a strong rebound as lockdown ends. Positively, that rebound rests on the foundations of solid household balance sheets. Indeed, the extent to which households (and the property market) were insulated from Covid’s economic shock was revealed in ONS data showing 2020 delivered the fastest rise in households’ net worth in six years.
What you will learn:
- The latest CHAPS payments data suggests that a revival in consumption is more than just a statistical artifact
- A chief area of concern in relation to the longer-term economic effect of Covid is the potential labor market damage
- The rise in households’ net monetary assets more than accounted for the growth in total UK net worth
Tags:
Related Services
Post
Firms must brace for higher ‘new normal’ construction material prices
New research by Oxford Economics suggests that construction materials prices have shifted permanently higher due to the shocks of the past couple of years. Project managers and investors should anticipate costs being at least 15-20% higher in 2024 and onwards than in 2021.
Find Out More
Post
New Activity Trackers suggest momentum is waning
After a choppy first quarter of GDP data, our novel Activity Trackers (which incorporate proprietary daily sentiment data from Penta) suggest that economic momentum in EM Asia is on a softer trend in Q2 (at least outside of China) supporting our view of easing underlying inflationary pressures and diminishing appetite for further rate hikes.
Find Out More