The highly successful vaccine rollout across the UK, and robust Covid-19 safety measures customer-facing industries have put in place, is providing a strong platform to encourage consumer confidence and economic growth.
It’s a cautious reopening in this country, and some ministers have demanded a faster easing of lockdown restrictions, but industries badly hit by the pandemic, such as retail, hospitality and tourism, can benefit from a widespread determination to return to some form of normality.
This should help to drive further economic growth, and boost businesses on a local and national level. The continued uncertainty over international travel and a high demand for ‘staycations,’ may also encourage consumer spending around the UK, particularly in our many tourist hotspots.
How is the UK economy bouncing back in 2021?
According the Office for National Statistics (ONS), “UK gross domestic product (GDP) is estimated to have grown by 0.4% in February 2021, as government restrictions affecting economic activity remained broadly unchanged.”
Now that the coronavirus restrictions in general are easing, and the end of June 2021 may see the removal of all legal limits on social contact, the future is looking much brighter for the economy as a whole.
What does the economic bounce back mean for business buyers and sellers in the UK?
The business transfer market has remained buoyant during Covid-19. It continues to attract purchasers who have saved during the coronavirus pandemic, with the sole purpose of investing in a business.
A desire for greater independence and self-reliance is fuelling significant activity in business buying – by people made redundant during the pandemic, for example, or who fear the loss of their job in the future.
For this reason, sellers can have confidence in a decision to sell their business at this time. A predicted surge in business trade as the economy starts to bounce back is also leading to a faster business sales process.
A post-coronavirus trade boom will further boost the economy
Those buying a business can also expect a surge in trade post-Covid-19 as the economy opens up fully, and consumers resume former shopping habits, social connections, and activities.
A post-coronavirus surge in trade as the UK economy bounces back offers an excellent start for new business owners, and allows sellers to present an extremely favourable forecast for the future growth of the business.
An evolving high street to support the economic recovery
Although their financial problems were not necessarily wholly due to coronavirus, the demise of larger high street retailers, including Debenhams, Mothercare, and Beales, opens up an opportunity for smaller, more agile, businesses to boost the UK economy.
An evolving high street, potentially with an added residential element and a greater focus on social activities, could attract a new demographic - shoppers, diners, and local residents all taking advantage of independently owned shops, alongside new housing and green spaces.
End of lockdown restrictions will help the UK economy bounce back
As lockdown restrictions ease this summer, there’s a brighter future ahead for a UK economy that is already bouncing back. Suppressed consumer demand, in conjunction with monetary savings made during three national lockdowns, should provide a reliable launch pad for a period of boom rather than bust.
If you would like more information on selling your business, please get in touch with our team at Selling My Business to arrange a free, same-day consultation. We help businesses in all industries, and offer the tailored professional advice you need.