Entering November 2 today, means the start of another episode of grief for the UK economy following the implementation of a nationwide curfew order for the second time after witnessing a continuous surge in the daily Covid-19 case since last month.
Over the weekend, Prime Minister Boris Johnson announced the implementation of stricter restrictions for 4 weeks, in which all citizens are encouraged to sit at home unless there are important things outside, including education, medical or for necessities.
For some industries that cannot work from home, such as construction and manufacturing will be allowed to operate as usual.
Meanwhile, PM Johnson also extended the employee payment scheme which should end on October 31 to continue to support businesses and households.
Although the closure this time is only 4 weeks, it is enough to affect most of Gross Domestic Product (GDP) due to sectors such as retail, hospitality and tourism affected.
In fact, the sanctions are likely to extend for more than four weeks, according to Cabinet minister Michael Gove who answered a Sky News question when asked about the possibility.
Analysts from the Institute of Fiscal Studies (IFS) have not been able to say exactly how much the government's spending deficit will increase as a result of the latest sanctions, but predict that it will reach £ 350 billion even before the closure was announced.
Meanwhile, the chief economist from Capital Economics is of the view that the economic impact may not be as severe as the country experienced in April where it contracted by 20% as not all economic activity was closed this time.
