andy verity, bbc news.s afternoon the governor of the bank of england andrew bailey has been giving us his reaction to the figures. well, obviously it is a dramatic and big number, well, but actually it is not a surprising number. the economy clearly closed down substantially at the end of march into april, so it is not surprising. it is actually pretty much in line with what we were expecting. now, the big question, of course, is what happens next? we monitor a lot of very high frequency data these days, we have a lot of access to that data, which is why we had a reasonably good read on what was going to happen in april. we see signs of the economy now beginning to come back into life in the high frequency data. we do see that. it is early days and obviously i don't want to emphasise that too much, it is a gradual coming back into life, but we do see those signs. so i think that is evidence of things are starting up again, of things starting up again, but the really big question that goes beyond that is no

andy verity, bbc news.es globally since the pandemic began. infections in brazil are continuing to rise dramatically. nearly 35,000 new cases were reported yesterday, a daily record for the country. and more than 115,000 people have died in brazil with the disease. 0ur correspondent katy watson is in sao paulo. grim statistics continuing to get worse. you mentioned the figures. we are looking at in the next few days brazil hitting 1 million cases of coronavirus. just last week, it surpassed the death toll, we are now looking at more than 115,000 deaths. every few days here in brazil there isa every few days here in brazil there is a new, grim milestone reached. but the government seems to do very little. jair bolsonaro, yesterday, one of his official said yesterday that the virus was under control. last week he encouraged people to go to hospital to see the empty beds, because of his continual playing down of the virus. the world health 0rganization still says that brazil isa 0rganization still says that br

our economics correspondent andy verity has been looking at the figures.is the skill of the economic plunge in april. ten times the size of any previous dive, much larger than the global financial crisis, and much faster than the great depression of the 1930s. this gym in altrincham near manchester is among thousands of businesses which thrive before lockdown. now most of the staff are on furlough and the gym is eerily quiet, as it has been for three months. it's fast, like many others across the economy, has somehow got to find a way to pay the bills when the income is zero. we have had no revenues coming in since the shutdown on 2a march. an considerable recurring costs in the interim. it's been incredibly challenging to manage the cash reserves we have on the way through, whilst protecting our teams and making sure we don't build a creditor while on the other side thatis creditor while on the other side that is too difficult and takes too long to unwind. among the hardest hit sectors were accommodation and food, with activity down 41%. hit sectors were

andy verity, bbc news.nomics editor, faisal islam, says these figures are even worse than anticipated. we have simply never seen a number like this and people would never have drained of seeing a number like this. a fall in one month of 20% of the economy, a fifth at the entire economy, a quarter if you include the end of march. just to be absolutely clear, we normally talk of big movements being a fraction of a percent, but this is a fraction of the entire economy. perhaps it is no surprise when you see as everyone saw empty streets, and offices, empty factories and empty skies as well. the challenge here is, yes, we know about the decline, but how quickly can be recovery de? the hype at the beginning of all of this was that the because we would be as rapid. that is not going to happen now, but what will contribute to it again possible is a safe lifting of the lockdown without triggering a second wave, but also government support packages. we have had a huge rescue package in terms of the jobs market, but

let's get more from our economics correspondent, andy verity.c output since 1963, that is worth repeating, i think. but any surprises that we are in this position? well, in a way, knowing what we know about what the government has had to do since the government has had to do since the pandemic struck, it's not a surprise that we have record borrowing, in a way it is not a surprise that in the month of may, we borrowed nine times what was borrowed in may last year. because tax revenues have dropped massively, that's what the government wanted to happen. the government effectively instructed this recession when it instructed this recession when it instructed a shutdown, an economic lockdown. we know why it did it, to save lives. but the consequence, which it was fully aware of when the shutdown was ordered, is that we are 110w shutdown was ordered, is that we are now in the biggest recession in a very long time, and that figure about 1963 is interesting, because in1963, about 1963 is interesting, because in 1963, although the economy was picking u

sarah corker, bbc news. 0ur economics correspondent andy verity joins us now. the figures to be worse but there is quite a warning? yes, that expectation is also for the next few months, that unemployment may get above 3 million. that is ince that —— widely expected despite the government support. we have 11 million people on the support scheme, the furlough scheme of the self employed income support scheme. that is people not working at the moment and are being paid not to work but don't count in the unemployment total. a lot of the firms they work for will not be viable. some estimates are one in six firms don't think they will be viable when the shutdown lifts because of ongoing social distancing. it is masking the true picture of how many people are suffering. when you look at the claimant count, that is alarming. it shows a rise of 1.6 million people in people claiming out of work benefits. that is a record rise. it is difficult to compare it to the past because more people are eligible and it is more generous. but the number of people claiming unemploymen

our economics correspondent, andy verity, is here. what i have saying? this is pretty dire. yes.g by 6%, the biggest decline they have had in the whole 60 year history they have predicted for the world economy, and within that the uk economy is not looking good. they are predicting growth will be -11.5%, are predicting growth will be -ii.5%, the are predicting growth will be —ii.5%, the economy shrinks by 11.5% in 2020 and rises not so much in a v shape but it is a lot slower so it will not get back up by the end of 2021 to where it was in 2019 and that has big implications for unemployment as well. we are looking ata unemployment as well. we are looking at a rise from 3.9% at the start of this year, the lowest in 45 years, up this year, the lowest in 45 years, up to 11.7%, predicting in the third quarter of this year. they are saying that is on a good scenario if we only have one wave of infections. if we have a second wave it looks a lot worse and we have 14.8% unemployment predicted. thank you. many councils are reviewing statues and landmarks with links to the uk's colonial p

we can speak to our economics correspondent, andy verity. if lives and livelihoods, because in fact if we have a second wave there is going to be no choice, the economic shock is going to be bigger. the measures to prevent further infections and deaths are not at odds necessarily with measures to make the economy improve. but having said that, it has made it clear, the oecd that we have a long road ahead in term of getting back to where we were and the global recession, which they say is the most severe in a century will not recover to before its precrisis level this year or next year. their predictions for unemployment is it will get to over 11%, in spite of the huge sums, 27 billion pounds, that the government has spent on the job retention scheme to try to protect jobs. they say job retention scheme to try to protectjobs. they say if job retention scheme to try to protect jobs. they say if there job retention scheme to try to protectjobs. they say if there is a second wave the unemployment rate could get up to 14.8%. second wave the unemp

that is what is most likely tomorrow. 0k, thank you very much, andy verity, our economics correspondentall returns this evening. sheffield united and aston villa will kick off the restart to the season with manchester city hosting arsenal in the late game. 92 top—flight matches will be crammed into the next a0 days with the season concluding on 26thjuly. it won't sound or look the same, but this is football's silver lining. tonight the premier league restarts in empty grounds. at aston villa some fans will be projected on a screen. for those watching at home it is not football's full experience, but for sport in a pandemic it's the only way. for those of us who do regularly go to matches it does feel strange because it is such a social thing. you go to the match, you meet up with your mates. there's people i know who haven't missed games in, like, 30 years, so i think for the likes of them it is going to be really strange. it's100 days since england's last top—flight match. the season shut down at speed as covid took hold. it took clubs more than two months to agree how to finish it, bu

the coronavirus large business loan interruption scheme is working. 0ur economics correspondent andy verityt the original scheme and they were brought in partly because it became apparent the original scheme wasn't working very well to reach the hundreds of thousands of firms out there who are desperate for cash to try and stay in business. the fa ct to try and stay in business. the fact that £21 billion has been lent out to more than 870,000 firms, shows what demand there was for cash that was being frustrated by the original schemes. so if you look at the original scheme, the the coronavirus business interruption scheme, billed as part of a £300 billion package in the market march budget, you remember them? this was supposed to rescue corporate britain but the problem was the government was not renting 100% of any losses the banks were lending money might rack up. and therefore they were doing all the normal underwriting, the normal things, the checks they make in order to make sure they are co mforta ble make in order to make sure they are comfortable that their customer can't repay and

our economics correspondent, andy verity explained how much of a surprise these figures are.he government wanted to happen, the government effectively instructed this recession when it instructed an economic lockdown, we know it did it to save lives, but the consequence, which it was fully aware of when the shutdown was ordered, is that we are now in the biggest recession in a very long time. that figure about 1963 is interesting because in 1963, although the economy was picking up, there was still this great overhang of wartime debt. forget any talk about the immediate policy goal being, as it has been the chancellor is for the last 15 years, being to get the budget back into surplus. it is not going to happen for years. it is not going to happen for years. it is probably not going to happen for decades. the thing about it is that a lot of what we have been told by the last ten years, that really matters, that should be the central economic policy goal, a lot of economists are saying now, why? interest rates are manageable, they are super low and the institutions that lend g

i'm joined by our economics correspondent andy verity.nd it is only 1.7%, you mightflip it in 11 years and it is only 1.7%, you might flip it around and say, we have had 11 years when house prices have had 11 years when house prices have never fallen by more than that amount it says as much in a way about the last 11 years as it does about the last 11 years as it does about the last 11 years as it does about the picture since the coronavirus crisis. the transactions we re coronavirus crisis. the transactions were down by about 53% and you might have expected that they would be down by even more, given the fact that the housing market was essentially frozen. the fall is not very much and it is quite likely thatis very much and it is quite likely that is only the beginning of the impact on the housing market of this huge economic shock, the bigger shock we have had in decades, if not hundreds of years. you would expect house prices to fall by more than that, but let us stop before we say that, but let us stop before we say that it's necessa