- Circuit-breaker | Capital Economics forecasts that a “circuit-breaking” two-week lockdown could hit GDP hard, pushing full economic recovery back to 2023, a year later than if there were to be no more restrictions.
- Services | The latest Markit/ CIPS UK Services PMI stumbled in September to 55.1, down from 58.8. Whilst still showing growth, it implies a slower rate of growth and is thought to be caused by the Eat Out to Help Out scheme ending.
- Winter Economy Plan | The Chancellor announced a replacement for the Coronavirus Jobs Retention Scheme. Under new plans, an employee can work a minimum of 33% of their hours and be paid by their employer for these hours. Of the remaining hours, 33% will be paid by the employer, 33% by the government and 33% will be unpaid. A key question will be whether employers are certain enough about future workload to warrant paying staff for unworked hours in order to retain them.
- 2020 Budget | The Chancellor announced that this year’s Budget will be cancelled, raising questions over the already delayed Spending Review.