Reasons To Be Cheerful
Posted By Jean-Philippe
It would be so easy for businesses to lose hope in the current climate.
With the nation experiencing the deepest recession for 300 years; the looming threat of a no deal Brexit; over 55,000 dead from the virus; and Christmas practically cancelled – one could be forgiven for slumping into a miserable state of gloom.
That said, I feel there’s a very strong case for actually feeling the opposite. If anything, the future not only looks bright but, with a bit of luck, we could soon find businesses and the economy absolutely flying.
It’s now clear – thank goodness – that vaccines will go some way to beating the virus. Even our own homegrown Oxford University/AstraZeneca trial has “hit the mark” and there are still over 150 vaccines in development across the globe.
World stock markets are clearly thrilled by this and, whilst there’s still some way to go in controlling the pandemic, scientists believe that by next summer, life will begin to feel a bit more normal again.
It’s also being speculated that a Brexit deal is just days away and that around 95 per cent of the legal text is agreed across all areas of the EU-UK future relationship. If this is true, the impact on business confidence will be immense. In my opinion, vast amounts of pent-up business investment will start to reveal itself; many shelved or on-hold commercial projects will be reinstated; and firms will begin hiring once again.
This is a big deal. Let’s not forget the enormous impact Brexit uncertainty was having on the economy before the pandemic. In only a matter of days, a satisfactory resolution to the impasse could well take place.
It won’t be plain sailing. Significant damage to the economy has already been done and we’ll likely be paying for the extra government borrowing throughout the pandemic for decades to come. Additionally, let’s not forget the many people who have suffered incalculable hardship, anxiety, deprivation, ill health and bereavement – the cost of which may sadly be endured for generations.
Nevertheless, it’s looking like we’re over the worst, and, unlike previous recessions where, due to structural inefficiencies in the economy – the recovery was drawn-out, we may well find consumer confidence returns quickly and with a vengeance. Hardly surprising when we consider people have been denied holidays, wedding parties and a good old pint at the local.
That’s something businesses should be cheerful about as we look forward to saying farewell to this nightmare and begin a new era of recovery and hope. It’s finally time to move on and I for one will drink to that.