'Whatever it takes' or 'just not enough'? Industry warns Sunak's stimulus is 'storing up problems'

Calls for helicopter money

Lauren Mason
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Chancellor Rishi Sunak, Prime Minister Boris Johnson and the Government's chief scientific adviser Sir Patrick Vallance. Photo: Andrew Parsons/Number 10/Flickr CC-BY-NC-ND 2.0
Image:

Chancellor Rishi Sunak, Prime Minister Boris Johnson and the Government's chief scientific adviser Sir Patrick Vallance. Photo: Andrew Parsons/Number 10/Flickr CC-BY-NC-ND 2.0

Investment professionals have warned that the latest stimulus package delivered by Chancellor Rishi Sunak in order to limit economic impacts of the coronavirus “just isn’t enough” to “fill in the production chasm that is coming our way” over the coming months, and that extreme fiscal spending will only be “storing up problems further down the line”.

Some commentators are even calling for helicopter money, in a bid to "directly stimulate consumer demand". This comes following Chancellor Sunak's announcement at 5pm yesterday (17 March 2020) that the UK Government will roll out further emergency fiscal policy measures, including a £330bn Government-backed guaranteed loan scheme for businesses, and a further £20bn of stimulus; including £10,000 grants for small businesses, business rates suspended for one year across all leisure sectors, and a Business Interruption Loan Scheme for smaller companies which will provide interest-free loans...

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