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UK GDP fell by 2.6% in November. The UK’s monthly estimates of economic output have provided a timely measure of the impact of lockdowns during the COVID-19 pandemic. Governments in each of the four nations that constitute the UK imposed severe restrictions on economic activity towards the end of last year. In England, for example, which accounts for close to 90% of UK GDP, the hospitality industry and non-essential shops were closed from 5 November through to 2 December. Schools remained open, but in other respects November’s lockdown in England was on a similar scale to that imposed in the spring of last year. In those circumstances, the relatively small decline in UK gross value added is encouraging and suggests that many businesses have found ways to adapt.
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