1. It is likely that clients on boom or bust trajectories will only accelerate further on their trajectory. Those who have been prospering will grow rapidly and profit further, demanding more of their agencies rapidly. Those who have been struggling already will hit harder problems as the pandemic aftershocks continue and the economic support is removed, placing their projects with agencies at risk. Agencies should be mindful of credit risks with clients.
  2. There is a realistic possibility of partners and suppliers in financial risk as support programmes are wound down, which could be amplified if there are further waves of the pandemic without new support. Agencies should monitor the risks in their supply chains for signs of fulfilment disruptions, inability to meet commitments, cashflow issues, or insolvency.
  3. There is likely to be a wave of redundancies as the furlough schemes in many countries end. These will be mostly people in sectors that have been badly affected already. The economic impacts of the pandemic are K-shaped — those in economic decline will continue to slide down, while those doing well are thriving.
  4. Costs are likely to rise due to inflation. Suppliers will seek price increases. Staff will seek pay rises, especially if salaries have been frozen for the last 18 months.