Increase in UK coronavirus cases puts reopening in doubt

Johnson thinks restrictions will be lifted but adds that “we may need to wait”

Up to 75% of all new Covid-19 infections involve the Indian variant according to UK health secretary Matt Hancock.

Hancock confirmed that cases were on the rise across the UK, as more than 3,500 new cases were identified on Wednesday.

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There are increasing doubts over the probability of the government lifting all restrictions as initially targeted on June 21.

Prime minister Boris Johnson said on Thursday that he suspects restrictions will be lifted, judging by the data, but added that “we may need to wait”.

Data from Public Health England is showing different case across across various regions of the UK.

Focused and rapid testing is being carried out in the areas most affected by the new variant, according to Hancock. Over 17,000 vaccines have been distributed in Bolton over the past week.

Dr Jenny Harries, chief executive of the UK Health Security Agency, addressed the briefing, saying that a lot of the outbreaks were centred around “focal points”, such as schools or faith buildings.

Harries added: “The cases actually do look as though they are starting to plateau out but the spill-over into community transmission in local areas is an important one.”

Increasing cases numbers were not “generally translating into increased cases of hospitalisation and definitely not into deaths,” she said.

“So the key message there is… if we can hold it while the vaccination programme gets rolled out, we stand a much better chance of getting through this session.”

Joshua Mahony, Senior Market Analyst at IG, discussed rising Covid cases delaying reopening plans:

“Joe Biden is expected to announce an impressive $6 trillion budget today, but much of that may never come to fruition. France has dropped into recession after a downward revision to Q1 growth. UK reopening plans could be hampered by the rise in the Indian Covid variant.”

“European markets are on the rise in early trade today, with traders anticipating the announcement of a huge spending plan from Joe Biden today. Plans for a $6 trillion budget will bring many winners, although it makes sense to take any of today’s announcements with a pinch of salt.”

“Despite Biden enjoying a slim majority across congress, the ability to get his original plan across the line is doubtful. Thus while markets will likely enjoy an optimistic end to the week, it could be just a matter of time before we see a heavy dose of reality over just how much of that $6 trillion will see the light of day.”

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