Home Nation successes in Euro 2016 championships would boost UK economy

There is more at stake than pure national pride at Euro 2016. Analysts are suggesting the British economy could reap the dividends of strong performances from England, Wales and Northern Ireland.

The first round of fixtures in the Euro 2016 championships have been a mixed bag for the Home Nations, with only Wales picking up three points. England, sadly, have almost exclusively made the news for matters off the pitch rather than on it.

Roy Hodgson's men let a 1-0 lead slip against a distinctly average Russia side on Saturday, while Northern Ireland's first game at a major tournament since 1986 ended with a 1-0 defeat against Poland.

England and Wales meet in Lens today (16 June 2016) in a game that could go a long way in determining their respective destiny this summer, with the former knowing that anything but a win would almost certainly condemn them to an early journey home.

A few hours later, Northern Ireland will face a similar scenario against Poland, with a defeat guaranteed to all but end the team's hopes of reaching the quarter finals. However, fans of the three sides will not be alone in watching on in interest, given that the UK economy stands to benefit from a prolonged British presence in the tournament.

With fans watching the games at home or in bars and pubs, alcohol and snack sales are expected to increase between now and the end of the tournament.

"Obviously pubs and clubs are likely to be beneficiaries as a fair number of people will probably most enjoy watching the matches in a group atmosphere," said Howard Archer, chief UK and European economist at IHS Global Insight.

"The better the Home Nation countries do, the greater the potential boost to the economy. If there are widespread early exits, there will be a large number of souvenirs and perhaps replica kits in the bargain buckets."

With the Euros closely followed by Wimbledon and the Olympic Games taking place this summer, retail sales could also receive a boost from people upgrading their TVs to make the most of a summer of sport. However, a strong display from the Home Nations could also bring some unwanted problems with it.

"There is the possibility that there will be a small hit to productivity from people watching the games on TV when they would otherwise be working," Archer added. "There could also be some people taking their holidays in France to watch the football who would otherwise have taken them at home."