Business News Round Up (11/06/2021)
UK economy posts record annual jump in April, up 27.6%
Britain’s recovery from the Covid-19 pandemic sped up in April as lockdown measures eased, and output was a record 27.6% higher than a year earlier when the virus was rampant. The figures today from the Office for National Statistics (ONS) showed rapid growth in the services sector as non-essential retail and hospitality businesses opened their doors after months of closure and schools fully restarted. Economic output rose by 2.3% month-on-month in April, marking the fastest growth since July, the ONS said, and slightly above the Reuters poll consensus for a 2.2% increase. “The jump in GDP in April was another sign that consumers are raring to spend as the economy reopens,” said Thomas Pugh, UK economist at consultancy Capital Economics. However British economic output remained 3.7% below its level in February 2020, before the pandemic led to lockdown measures, the ONS said.
https://www.rte.ie/news/business/2021/0611/1227459-uk-economic-growth-figures/
New capability network will help businesses across Scotland access support and unlock innovation
The National Manufacturing Institute Scotland (NMIS) has announced the formation of a network that brings together leading Scottish research and innovation, education, and training providers to help unlock manufacturing innovation and drive growth in the sector across the country. Spanning the length and breadth of Scotland, the network is led by NMIS and includes capability partners such as Borders-based Mountain Bike Centre of Scotland, Tay Cities Engineering Partnership (TCEP) and SeedPod, a £21 million investment in the food and drink industry to create a centre of excellence for manufacturing in north-east Scotland. The network will offer an easy means for manufacturing companies who work with individual partner organisations, to tap into the vast expertise across the entire network. Companies will also be able to access the capability partners’ own networks including the renowned High Value Manufacturing Catapult through NMIS.
UK economy lags behind other countries in Covid recovery
The UK’s recovery from the damage caused by the Covid pandemic lagged behind other big economies in the first three months of 2021. Economic output was 8.7% below pre-pandemic levels at the end of 2019, said the Organisation for Economic Co-operation and Development (OECD). Overall, the economic output of the G20 group of major economies edged ahead, led by India, Turkey, and China. But most others, such as Italy, Germany, and the EU as a whole, shrank. A country’s Gross Domestic Product (GDP) or economic output measures how well or badly an economy is doing. The OECD think tank said GDP in the G20 area returned to pre-pandemic levels in the first quarter of 2021, but with large differences across countries. Overall, the G20 grew slightly compared with the final three months of 2019, before the mass lockdowns and economic disruption caused by the Covid pandemic. The UK and Italy recorded the largest falls from pre-pandemic GDP levels, down 8.7% and 6.4% respectively, while Germany, France, the euro area and the European Union all recorded declines of more than 4%.
https://www.bbc.co.uk/news/business-57427997
Greater Manchester’s strength in tech and eCommerce outlined in new report
Greater Manchester’s journey to become a world-leading hub for tech and eCommerce businesses has been chronicled in a new report from the Greater Manchester Local Enterprise Partnership (GM LEP). How Greater Manchester became the land of tech unicorns and eCommerce giants examines the city-region’s recent successes and explores its transformation – from birthplace of the Industrial Revolution to a place where creativity, technology and innovation are driving economic growth. The report charts the rise of The Hut Group (THG) from eCommerce start-up to its multibillion-pound float on the London Stock Exchange last year, while also looking ahead to the company’s plans for a landmark new business campus near Manchester Airport.