Coronavirus: Milan among cities quarantined in mass Italian lockdown

Italy took the extraordinary step yesterday of quarantining 16m people in one of the country’s most prosperous regions as it ramped up its battle to halt the spread of Coronavirus.

All 10m people from the region of Lombardy, including Italy’s financial capital Milan, have been placed into lockdown until 3 April, along with cities including Venice, Padua, Modena, Piacenza, Reggio Emilia and Rimini.

Italian Prime Minister Giuseppe Conte said there would “be no movement in or out of these areas”, unless “for proven, work-related reasons, emergencies or health reasons”.

The number of confirmed Covid-19 cases in Italy has now reached almost 6,000 and the death toll has hit 366.

The effective quarantine has plunged Italian marketplaces into uncertainty, as traders brace for the Borsa Italiana, the Italian stock exchange, to open in Milan this morning. 

The Borsa’s benchmark FTSE MIB index has plummeted by 16 per cent in the past two weeks, with traders braced for a reaction to the government’s latest measures.

The country’s flagship airline Alitalia has also suspended all domestic and international flights in and out of Milan Malpensa from today, while also reducing its services to and from Venice. 

Austrian chancellor Sebastian Kurz said yesterday it was only a matter of time until other European countries adopted similar measures to combat the virus, and he is now considering closing schools and cancelling public events.

The Italian authorities’ decision comes as Rishi Sunak prepares to deliver his first budget on Wednesday.

The new chancellor stressed yesterday that “[the UK] will get through it” and that the government was prepared to “give the NHS whatever it needs” as confirmed Covid-19 cases hit 273.

Health chiefs have now advised Whitehall that the death toll in the UK could reach 100,000, according to the Sunday Times.

The chancellor also said he was prepared to devise a stimulus package for businesses hit by the economic impact of the virus. 

The OECD warned last week that global economic growth could be halved as supply chains, trade flows and business demand all take a hit from the outbreak, while the FTSE100  has declined by almost 13 per cent in the past two weeks.

Speaking to Sky News, Sunak said: “There are policy levers we can take to ease the short term burden on business’ cash flow.

“These are businesses we think are viable, sustainable and we think have a bright future, but are going to have a temporary period of disruption. 

“The economy is in a good place – we will get through this.”