Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the UK supply chain crisis and business.
Britain’s supply chain crisis shows that the public are losing confidence in the government’s ability to manage the economy and handle problems, according to Berenberg Bank today.
Berenberg has cut its forecasts for UK growth in the coming months, and lifted its predictions for inflation, citing the downside risks to near-term real output caused by growing problems in the supply chain.
Kallum Pickering, Berenberg’s senior economist, says the panic buying at the pumps is a “warning sign” for the economy — highlighting the “dismal state of affairs” and the risk of more serious outcomes ahead.
Pickering (like the government) points out that other European countries, and the US, also face shortages of lorry drivers. But only the UK has seen panic buying – which he sees as…