London Daily

Focus on the big picture.

Strikes take toll on economy as widespread disruption forces many to stay at home

Strikes take toll on economy as widespread disruption forces many to stay at home

Early estimates on the hit to the struggling economy are revealed but they cannot yet reflect the full impact on businesses from a collapse in the number of commuter traffic.
Britain is experiencing its biggest day of industrial action for more than a decade, with up to half a million people walking out across the country.

Civil servants, train drivers, teachers and border force staff are all taking part in co-ordinated strike action to appeal against real-terms pay cuts - wage levels that fail to keep up with the rate of inflation.

It has led to widespread disruption across the country, with thousands of schools closing their doors and footfall plummeting across the country's high streets.

The strike action is expected to cost the economy close to £100m, according to economists at the Centre for Business and Economic Research (CEBR).

This figure includes £68m of direct costs linked to lost working days in the railway and education sectors, as well as the civil service.

Economists said that absences among those who cannot work from home and rely on the train network to commute to their place of work will cost the economy an additional £26m.

"These figures (together £94m) represent a lower bound estimate, as they do not capture impacts such as parents taking time off work during school closures, reduced retail/hospitality footfall, among others.

"It will, however, mark the costliest day of action across the whole of the eight-month current strike period," the CEBR said.

About 85% of the 23,000 state schools in England and Wales are closed or partially closed today, with parents forced to stay at home as a result.

Data submitted, by schools, to the Department for Education showed that 45.9% of all schools in England were estimated to be fully open.

Of the rest, 44.7% were open but restricting attendance.

High street businesses were also reeling from falling footfall.

According to the data company Springboard, footfall across retail centres across London was down 16.5% compared to last week and down 9.2% in other cities across the UK.

Diane Wehrle, Insights Director at Springboard, said: "Once again the rail strikes occurring across the UK today are having a significantly adverse impact on footfall across retail destinations, but particularly in high streets, with the most severe impact being felt in large cities which comprise the largest working populations where many have chosen to work from home."

In a further sign of reduced economic activity, congestion on the roads fell significantly, with many parents staying at home instead of dropping their children to school or going to work.

The sat nav company TomTom said that traffic at the 9am peak was down 43% in Liverpool and Bristol, compared to the same time last Wednesday.

Traffic was down 40% in Cardiff, 31% in Sheffield, 27% in Manchester, 24% in London, 22% in Birmingham and 19% in Glasgow.

On the London tube network, the number of entries and exits up until 10am this morning was down 23% on last week to 1.39 million, while bus usage was down 18% to 1.12 million journeys.

Andy Marchant, a traffic Expert at TomTom, said: "As half a million workers go on strike across the UK today, shutting down rail lines and schools, TomTom data has shown that congestion during this morning's rush hour has fallen significantly from its usual levels.

"Our data suggests that workers have become accustomed to the disruption and are planning their commute accordingly or are staying at home altogether, heeding the advice to avoid any unnecessary travel and brace for significant disruption to their daily lives."
Newsletter

Related Articles

London Daily
0:00
0:00
Close
Netanyahu Denounces World Court Ruling on Israeli Occupation
Adidas Drops Bella Hadid Over Controversy
Global Outage Caused by CrowdStrike Update Impacts Millions
Massive Flight Cancellations Across the U.S. Due to Microsoft Outage
Global Windows Outage Causes Chaos Across Banks, Airlines, and More
Russia Accuses Ukraine of Using Chemical Weapons
UK's Flawed COVID-19 Planning Exposed by Inquiry
Ursula von der Leyen Wins Second Term as European Commission President
Police Officer Injured in Attack in Central Paris
Hulk Hogan absolutely tore it up at the RNC.
Paris is being "cleansed" of migrants and homeless people ahead of the Olympics.
Lamine Yamal arriving at his school after winning the Euros
Campaigners Urge UK Government to Block Shein's London IPO
UK Labour Government's Legislative Agenda
UK Labour Government to Regulate Powerful AI Models
Record Heat Temperatures in Ukraine Amid Power Crisis
UK Government Plans to Remove 92 Hereditary Peers from House of Lords
King Charles III Delivers Labour Government's First King's Speech
Officials Remove 'Disastrous' Label from Liz Truss's Mini-Budget
Keir Starmer Outlines Ambitious Plans for Government
Japan to Allocate $3.3 Billion to Ukraine Using Frozen Russian Assets
EU Parliament Condemns Hungarian PM's Russia Visit
FBI Struggles to Find Motive Behind Trump Shooting Incident
Kremlin Criticizes EU Rejection of Orban’s Ukraine Peace Proposal
Google and Microsoft Now Consume More Power Than Several Large Countries
Secret Service Criticized for Lack of Sniper Protection During Trump Shooting
US Senator Robert Menendez Found Guilty of Corruption
Deep Concerns about Political Violence as US Approaches Election Day
Trump Media Shares Surge Following Re-Election Bid Boost
The gunman who attempted to assassinate Donald Trump Saturday is 20-year-old Thomas Matthew Crooks
Banksy's Influence on Port Talbot's Street Art Scene
Bodies of Two Men Found in Suitcases on Bristol Bridge, 24-Year-Old Arrested
Kate Middleton to Attend Wimbledon Men's Final Amid Cancer Recovery
Russia's Electronic Warfare Neutralizes Western Weapons in Ukraine
Trump Challenges Biden to Debate and Golf Match
Macron Accuses Israeli Minister of Election Interference
US Senator Highlights Weaknesses in Western Military Industry During Ukraine Conflict
George Clooney Urges Biden to Withdraw from Presidential Race
Political Shift in the UK: A Detailed Analysis of Labour's Victory and Future Prospects
Viktor Orbán's Peace Mission: A Diplomatic Controversy in the EU
India Advocates Peace and Prosperity: PM Modi's Speech in Austria
New UK PM Keir Starmer Reaffirms Strong Support for Ukraine at NATO Summit
Spain PM Pedro Sanchez Denounces Double Standards on Gaza at NATO Summit
UK Police Arrest Suspect in Crossbow Attack After Three Women Killed
Sunita Williams Safe on ISS, to Address Earth on July 10
Biden Affirms Commitment To Presidential Race
France Faces Political Turmoil and Airport Strikes Ahead of Paris Olympics 2024
Putin Hosts PM Modi for a Private Meeting
TSMC: The Taiwanese Chip Giant Valued Over $1 Trillion
Boeing Pleads Guilty Over 737 MAX Crashes
×