The Budget – economic policy can’t kill a virus, but it can support the future recovery

Melanie Baker, Senior Economist

Melanie Baker, senior economist at Royal London Asset Management comments ahead of the Budget announcement.

“In the context of the current coronavirus crisis, there is a real need for ‘bridging’ measures, to help companies and households through a period which may be very difficult for cash flow. Economic policy can’t kill a virus, but it can help the economy through this period and support the future recovery.

“As part of the Budget, as well as providing net stimulus for the economy and more support for the NHS, I hope that the Chancellor will announce measures to ensure that economic damage from this crisis doesn’t become more permanent. I expect a number of measures to help companies get through this period and without significant job losses, alongside measures to support those workers most affected.

"We also expect measures to support lending and liquidity, as well as monetary stimulus from the Bank of England, if not alongside the Budget, then within the next week or so. That would then add to the list of bridging measures and help inject more confidence in the economy.”

For further information please contact:

Margherita Orlandini, Corporate PR Manager, Royal London
margherita.orlandini@royallondon.com
02032 725 125
07919 171 953

About Royal London Asset Management (RLAM)

Established in 1988, Royal London Asset Management (RLAM) is one of the UK's leading fund management companies, providing investment management solutions to both wholesale and institutional clients such as not-for-profit organisations, local authorities and the insurance sector.

RLAM manages £139 billion of assets and employs 113 investment professionals as at end July 2020. It invests in all major asset classes including UK and overseas equities, government bonds, investment grade and high yield corporate bonds, property and cash.

For professional clients only, not suitable for retail investors.

Issued by Royal London Asset Management Limited, registered in England and Wales number 2244297; authorised and regulated by the Financial Conduct Authority. Registered Office: 55 Gracechurch Street, London, EC3V 0RL.