Job cuts in the UK reached a record level, and the country was covered by the labor market crisis, reports Bloomberg .
Now the unemployment rate has risen to 4.9 percent (the highest since 2016), more than 217 thousand people have lost their jobs, most of the reductions were in the hotel business and retail trade. According to forecasts, unemployment in the country will grow to 7.5 percent (2.6 million people), and the recovery of the British economy is complicated by a potential exit from EU no deal.
The Treasury Secretary of the United Kingdom Rishi Sunak had previously warned of the upcoming problems. According to him, unemployment will reach a peak in the second quarter of next year and will be 7, 5 percent is roughly 2.6 million.
In addition, Britain faced with an unprecedented economic decline in history. According to forecasts, the country’s GDP will fall by 11.3 percent this year, and the economy will not return to pre-crisis indicators until the third quarter of 2022.