COVID-19: Shortages and 'pingdemic' punish economy as growth slows to just 0.1% in July

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BREAKING: The UK economy is estimated to have grown by 0.1% in July and remains 2.1% below its pre-pandemic level in February 2020, according to ONS figures. Our business correspondent pkelso has the latest. Read more here:

The CBI issued its verdict after the Office for National Statistics charted a rise in output of just 0.1% over the month following a 1% increase during June.

That was despite more businesses getting into gear, with furlough levels falling, following over a year ofJuly was the month that the so-called 'pingdemic' hit its peak, with the ranks of people ordered by the NHS test and trace app to stay home, after a close contact notification, rising by more than 600,000 people a week in England alone at one stage.

It forced the government to introduce quarantine exemptions at the end of the month to protect some key activities.The ONS noted a hit from wider labour and supply shortages - constraints which have deteriorated since July with vacancies running at record levels and scores of consumer-facing businesses revealing supply problems.

 

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