The UK economy has suffered its biggest fall on record

Between April and June, during lockdown, the economy shrank 20.4% compared with the first three months of the year

But, what is a recession and how could it affect you?

[Thread]

http://bbc.in/Recession 

When a country’s economy shrinks for two quarters in a row (six months) the change is classified as a recession

In the UK, in January to March UK GDP fell by 2.2%, while between April and June it fell by 20.4%

This is the largest contraction on record

http://bbc.in/Recession 

Recessions which carry on for a long time, or are particularly bad, are called depressions

The International Monetary Fund estimate the world’s economy will shrink by 4.9% this year, making it the worst recession since the Great Depression of the 1930s

http://bbc.in/Recession 

A recession likely means job losses & fewer vacancies, especially in entry-level positions

Some may find it harder to get promotions or pay rises

The Bank of England says the UK's economic slump was less severe than expected but recovery will take longer
http://bbc.in/Recession 

The pain of recession is typically not felt equally across society, and inequality can increase

School leavers may find it harder to get a first job, for example

Benefit recipients and public sector workers could also be disproportionately affected

http://bbc.in/Recession 

The Bank of England predicts the UK economy will grow in the third quarter of 2020, so technically, the recession could already be over

The IMF predicts that the world economy will grow next year, too

But no-one knows how strong the recovery will be

http://bbc.in/Recession 

Read more about what a recession means for you, what action is being taken around the world, and how long experts think global economies will take to recover: http://bbc.in/Recession