The market is a place where most commodities are interdependent on each other. The success of failure of one commodity may be directly or indirectly linked to the success and failure of another commodity. The rise and fall of the market affects the economic growth of nations and affects the behaviour of its people.
The recent economic dip brought by the Covid 19 pandemic affected several people and industries nationwide. Several public places and shopping malls were shut and people were confined to their homes in order to curb the spread of the virus. These restrictions went on for a longer period than originally expected. As, a result several industries suffered losses because of it. One such industry was that of real estate.
The real estate industry suffered huge losses during the covid 19 pandemic. Since, several businesses shut down, a lot of people lost their means of livelihood and were worried for their finances. The economy was crashing, people were out of jobs and no one exactly knew when things would get better. As a result people stopped making big investments such as that of buying a house or and expensive jewellery item such as Hatton garden engagement rings.
The year of 2021 brought with it a ray of hope in the form of vaccines to curb the virus. The development and administration of vaccines improved things tremendously. It took the whole year 2021 for things to get normal. Slowly and steadily, people started coming out of their home, the travel restrictions were lifted, public places and shopping malls started functioning as usual and people started going back to work. The businesses started running with a newfound energy and there seems to be an economic boon for all classes of people in the future.
The real estate industry is also witnessing a slow and upward trend and are looking to recover from the losses endured during the pandemic. Several people who had moved to the greener countryside, in the hope of working remotely and looking to return back to the city. They are looking for homes in the city where the housing prices seem to have shot by 14% in the United Kingdom. Since the demand is beginning to rise, the prices are predicted to increase even further.
Even though the increase in the housing prices in UK does not directly impact the jewellery industry, it does throw light on the economic status of the general people. Since people are returning back to the cities, they are more likely to invest in a house than jewellery. Having a roof over your head is far more important than wearing expensive jewellery made of natural or lab grown diamonds UK. Therefore, if people are directing their money towards investing in a house, then indirectly the jewellery industry may suffer minor losses, by witnessing a reduction in the number of customers. However, once economic stability is achieved with time, the jewellery industry will easily be able to recover these losses.