The ravaging effect of coronavirus could make the UK economy to return to the size it was before the coronavirus lockdown, could take until 2024.
This new development was confirmed from an analysis by the EY Item Club, BBC reports.
The center of focus was unemployment as it was analysed that it will rise to 9% from 3.9%, says, forecasters who used similar economic model to the Treasury.
On the dropping of the nation’s economy, a month ago, it was predicted to be worse than 8% with an expectation that it will still shrink by 11.5% this year.
Consumers have been more cautious than expected as low business investment will dampen growth.
In this regard, their ecpectaton is not far from the fact that the post-coronavirus economic recovery will take 18 months longer than previously forecast.
However, the Item Club says it is early days and useful data has only recently been made available.
In response to the situation, Mark Gregory, UK chief economist at EY said, “Unsurprisingly, without hard data, a wide range of views on the performance and outlook for the UK economy emerged.”