Coronavirus: United Kingdom, facing worst recession on record, sees GDP drop 20.4% in Q2

The UK has seen its economy, hit by the coronavirus crisis, suffer a "record" contraction of 20.4% in the second quarter, and is officially facing its worst recession on record, agency figures show National Statistics (ONS), published Wednesday 12 August. 
Economists consider that a country enters a technical recession when it accumulates two consecutive quarters of contraction in its economy. According to the ONS, most of the contraction, which began to be felt in March, occurred in April, an entire month of containment and almost total cessation of activity in the country, which saw production collapsed by 20%.

With a very early recovery in construction sites and manufacturing activity, gross domestic product (GDP) rebounded in May by 2.4% (revised figure), followed by an acceleration in June (+8.7 %) thanks in particular to the reopening of all shops. This is the biggest contraction in the UK economy since the ONS began these quarterly statistics in 1955, he said…

TD Bank expects $ 1.1 billion charge for bad debt

TD Bank said on Friday that it plans to record a provision for credit losses related to its US retail banking services of approximately $ 1.1 billion (US $ 800 million) in its second quarter results in because of the pandemic.
TD Bank expects $ 1.1 billion charge for bad debt

The burden of funds set aside to cover potentially impaired loans comes as measures taken to slow the spread of COVID − 19 have devastated the economy and left millions of people unemployed.

TD also said the corporate segment is expected to record approximately $ 600 million (US $ 400 million) in credit losses for the quarter ended April 30.

However, this latter provision mainly includes the share of the retail partners' provision associated with the bank's strategic card portfolio in the United States.

According to TD, the share of retail partner revenues and provisions for credit losses recorded in the head office segment is fully offset by non-corporate interest costs and will have no impact on bank profits in the second quarter.

TD Bank is expected to release its full second quarter financial results on May 28.