The economy grew by less than expected in July
The Queen’s funeral could help tip the UK economy into recession earlier than forecast, economists have suggested.
The Office for National Statistics reported that gross domestic product (GDP) for the UK grew by just 0.2 percent in July, less than analysts had predicted.
Ths followed a 0.6 percent fall in June, which was partly put down to the extra celebrations and bank holidays for the Queen’s Platinum Jubilee.
The extra bank holiday for September 19, the day of Her Majesty’s funeral, is set to further impact the country’s output, MarketWatch reports.
A recession is defined as two consecutive quarters of negative growth.
George Buckley, chief U.K. economist at Nomura, said: “The announcement of another bank holiday on Sept. 19 could also dampen GDP at the margin, over and above the recession we already expect over the coming year.”
Meanwhile Philip Shaw, chief economist at Investec in London, explained that the period of national mourning and “subdued mood” could also result in a “dip in spending.”
He said: “Since GDP suffered a minor contraction in Q2, this would imply that the economy is in a recession, albeit largely influenced by additional public holidays.
“While this is not our baseline case, we would not rule this out, especially if the subdued mood of the nation results in a dip in spending across the period of mourning.”
At the start of August, the Bank of England warned that the UK will fall into recession in the last three months of this year and would keep shrinking until the end of 2023.
Queen Elizabeth II’s funeral will be held on Monday 19 September at Westminster Abbey in London, Buckingham Palace has confirmed.
Queen Elizabeth II’s funeral will be held on Monday 19 September at Westminster Abbey in London, starting at 11am.
Announcing the plans for the funeral and the days leading up to it, Buckingham Palace confirmed Her Majesty will lie-in-state in Westminster Hall for four days to “allow the public to pay their respects.”
The State Funeral of Her Majesty The Queen will take place at Westminster Abbey on Monday 19th September.
Prior to the State Funeral, The Queen will Lie-in-State in Westminster Hall for four days, to allow the public to pay their respects.
— The Royal Family (@RoyalFamily) September 10, 2022
On Monday the late monarch left Balmoral Castle for the final time as her coffin began its journey to Edinburgh.
Here, it will rest for 24 hours before being flown to London, where it will be taken to Buckingham Palace, before being relocated to Westminster Hall.
The coffin is expected to arrive at Buckingham Palace at 20:00 GMT on Tuesday, where King Charles III and Queen Camilla will witness its arrival.
At Westminster Hall, Her Majesty will lie-in-state for a four-day period, allowing the public to pay their respects.
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- Piers Morgan applauds Princess Anne who ‘never gets enough credit for her selfless devotion’
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