Back to square one? Investors warn of economic 'double dip' for UK as third lockdown rears its head

Latest restrictions a 'blow to economic recovery'

The UK economy could be facing another "double dip" as it heads into its third national lockdown within a year, according to some industry commentators, who warned the stringent measures will only represent "another blow" to the nation after the UK finally managed to secure a trade deal with the EU.

Last Monday, Prime Minister Boris Johnson announced in a televised address to the nation that, in response to the prevalence of the new B.1.1.7 strain of Covid-19 - which is estimated to be between 60% and 70% more transmissible - the UK will once more enter a full national lockdown, meaning all non-essential shops would close, schools would be shuttered to all children except those of key workers, and people must only leave their homes in exceptional circumstances. The global-facing FTSE 100 index appeared to fare well in spite of the news, although weaker sterling may have contributed ...