The Impact of COVID-19 on UK's Leisure and Sport Industry During Lockdown

What is it about?

The study investigates the impact of the SARS-COVID-19oV-2 pandemic on the sport GDP and consumer expenditure in the leisure sector in the UK. The leisure sector is divided into leisure at home and away from home, examining the different patterns that emerged due to the national lockdown in 2020. The study found that sport GDP is likely to decline by more than twice the rate of equivalent fall in the overall economy due to its reliance on human contact. Furthermore, this finding is consistent with the 2020 consumer expenditure on leisure that shows increases in spending on home leisure but also a huge decline in spending on out-of-home entertainment. The decline in GDP is extremely likely to put pressure on profit margins and hence threaten the survival of private enterprises, raising issues of sustainability under conditions of a pandemic. Increases in long-term public funding for reducing sport inequalities should be considered along with short-term relief packages for the sport sector.

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Photo by Risen Wang on Unsplash

Photo by Risen Wang on Unsplash

Why is it important?

This research is important as it evaluates the economic impact of the COVID-19 pandemic on the sport and leisure sector in the United Kingdom. The study found that the sport sector is likely to decline by more than twice the equivalent rate of the overall economy because of its reliance on human contact. The decline in GDP is expected to put pressure on profit margins and threaten the survival of private enterprises, raising issues of sustainability under conditions of a pandemic. The study also suggests that increases in long-term public funding for reducing sport inequalities should be considered along with short-term relief packages for the sport sector. Key Takeaways: 1. The leisure sector is divided into leisure at home and away from home, examining in this way the different patterns that emerged because of the national lockdown in 2020. 2. The sport sector is likely to decline by more than twice the rate of the overall economy because of its reliance on human contact. 3. The decline in GDP is extremely likely to put pressure on profit margins and hence threaten the survival of private enterprises, raising issues of sustainability under conditions of a pandemic.