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Coventry & Warwickshire Chamber of Commerce reacts to GDP drop

Business leaders in Coventry and Warwickshire say the slump in GDP in the first three months of the year is only a sign of what is to come in the current quarter.

The UK economy shrank by two per cent in the first quarter of 2020 and that fall is being attributed to the early effects of Coronavirus and the beginning of lockdown.

Louise Bennett, chief executive of the Coventry and Warwickshire Chamber of Commerce, said: “The economic contraction was widely anticipated and some were predicting an even sharper fall.

“It shows that Coronavirus had a significant impact on the economy even in the early stages of it taking hold in the UK and, when you consider we have been in lockdown for the whole of April and beginning of May, we can expect a much bigger fall in this quarter.

“This is not a surprise as we all know just how tough a time businesses have had in recent weeks but health of the nation had to, and will always, come first.

“We have applauded the Government for the support it has already given to businesses and, through further collaborative effort of national and local Government, and working with the Chamber, the CWLEP and Growth Hub, our universities, colleges and other partners we must look to safely reopen our economy.

“Restarting the economy and building a recovery is critical to everyone in our region and, indeed, across the country.”

This was posted in Bdaily's Members' News section by Matt Joyce .