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A report into the economic outlook for Maidstone and the surrounding borough has laid out the staggering impact of the coronavirus pandemic.
Prepared for Maidstone Borough Council by planning and development consultants Lichfields, the “state of the nation” document suggests the initial hit to the local economy could be equivalent to £575 million and 4,000 jobs across the borough in 2020.
These figures are based on independent research carried out last summer and the report does caution on “the ‘real time’ nature of the evolving economic situation”.
But the size of the numbers shows the scale of the recovery ahead.
The report states: “The analysis emphasised the severity of disruption to day-to-day operations being experienced by the borough’s business base, as well as the negative impact that the pandemic is having on sales/revenues and future orders.
“Initial survey feedback suggests that the majority of local businesses have seen a negative impact on sales and significant disruption to business operations. Two thirds of local business respondents have furloughed staff, with tourism, hospitality and retail jobs most affected in the short term.”
It goes on to warn that it may take “at least two years for the local economy to recover to pre Covid-19 levels of economic activity”.
Watch: Businesses fearing for the future
Research conducted for the report - written in November to support a draft five-year economic strategy for the borough - suggests a quarter of Maidstone’s working residents have been furloughed via the Government’s job retention scheme during the pandemic.
The draft strategy document itself notes the impact of the Covid-19 crisis on employment locally, with the claimant count - an indicator of unemployment - increasing from 2.2% in March 2020 to 5.3% by September.
Looking at the wider picture, the “state of the nation” report states: “Coming into the pandemic, the borough had strong economic credentials but also some key challenges that are likely to be exacerbated by Covid-19 impacts.
“This includes workplace productivity which ‘lags behind’ regional and national averages.”
