Unique Changes in UK Consumer Retail Spending during the COVID-19 Pandemic

Unique changes in consumer
retail spending that the UK
economy has experienced

EXECUTIVE SUMMARY
In the present report discussion related to various unique changes seen in UK retail sector
during the time of corona virus has been discussed. It has been analysed that the demand for non
essential goods like travel luggage, home appliances is lowered down. On the other hand demand
for essential items like grocery has been increased. Consumers are more engaged in buying these
products online. Online shoppers are also involved in targeting tech professionals and young
people who have no time in going in-store and are more interested in purchasing. These
consumers are also engaged in checking and pre-researching about the quality and brand of
grocery food items. It has also been analysed that during this pandemic situation millions of
people jobs are at risk. There is a negative shift in employment which is seen in United
Kingdom. Retail clothing brand has also seen a lower down in the second wave of corona as
local lockdowns are implemented. So many of brands have also gone bankrupt.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................2
TASK 1............................................................................................................................................2
Main factors in determining the positive and negative shifts......................................................2
TASK 2............................................................................................................................................8
Main UK governmental and economic policies to aid economic recovery.................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
1

INTRODUCTION
Supply and demand in economics can be defined as relationship between quantity of goods
which manufacturers need to sell and quantity of products that consumers wish to buy. During
the time of Corona-virus pandemic has impacted consumer retail spending in unique ways,
increasing some types of retail spending while reducing others. This has led to various changes
in United Kingdom’s economy. Present report will lay emphasis on the unique changes in
consumer retail spending that the UK economy has experienced from in 2020. It will also discuss
about adaptations by the UK government in response to the change in UK consumer retail
spending habits in 2020
TASK 1
Main factors in determining the positive and negative shifts
Figure 1 Limits in purchase
(Source: Limits in purchase, 2020)
There are various factors which are linked to positive and negative shifts in demand and
supply curve. During the time of pandemic the consumers spending has been changed, some of
the retail spending has increased while reducing down others. Factors which are linked to this
include the following:
2