Britain closing its productivity gap
Friday 09 October 2009
The much-maligned British worker has achieved a marked improvement in productivity, according to new figures from the Office for National Statistics. The ONS's latest estimates for GDP per worker show that the UK's record on that score is now superior to Japan and similar to that of Germany, though it still lags behind Italy, France, and, especially, the US. It, thus, remains below the average of the G7 "club" of leading advanced economies.
Of still greater significance may be the trend, which shows that British productivity has been catching up with the competition. The UK has experienced faster productivity growth than all other G7 countries since 1991, as measured by GDP per worker. By 2008, UK GDP per worker had grown by 39 per cent since 1991. In terms of GDP per hour worked, British productivity increased by 49 per cent between 1991 and 2007. This represents the fastest rate of growth of any G7 country over the period, well above the average (excluding the UK) of 36 per cent.
Britain's relatively lacklustre productivity has long held back growth and been a concern of governments, and Gordon Brown gave the elimination of the "productivity gap" priority when he entered the Treasury in 1997. The continuous improvement in productivity since the early 1990s has been reversed slightly by the recession, though the UK has seen a less steep fall in GDP, and a less severe rise in unemployment than elsewhere.
- 1 Isis burns thousands of books and rare manuscripts from Mosul's libraries
- 2 Scarlett Johansson new band 'already hit with legal complaint' from another The Singles
- 3 Husband and wife die holding hands within hours of each other after 67 years of marriage
- 4 The remarkable archaeological underwater discovery that could open up a new chapter in the study of European and British prehistory
- 5 'Jihadi John': CAGE representative storms off Sky News accusing Kay Burley of Islamophobia
Liam Gallagher brands Kanye West 'utter s**t' during BRIT Awards performance
Isis burns thousands of books and rare manuscripts from Mosul's libraries
Husband and wife die holding hands within hours of each other after 67 years of marriage
Mohammed Emwazi: Family of man named as 'Jihadi John' described by neighbours as 'normal Muslim family'
Mohammed Emwazi: Nine things we know about man named as Isis militant 'Jihadi John'
Oscars 2015: Birdman beats Boyhood as Eddie Redmayne and Patricia Arquette win big - as it happened
New theory could prove how life began and disprove God
Half of Ukip voters say they are prejudiced against people of other races
'Cash for access' scandal: Sir Malcolm Rifkind says 'unrealistic' for MPs to live on £67,000 salary
Aqsa Mahmood branded a 'disgrace' by her parents after claims she recruited three UK girls flying to Middle East
This is what it's like to be dead, according to a guy who died for a bit
iJobs Money & Business
£17000 - £25000 per annum: Recruitment Genius: An opportunity to join this new...
£18000 - £21000 per annum + OTE £45,000: SThree: SThree Group have been well e...
£20000 - £25000 per annum + OTE £45,000: SThree: SThree Group have been well e...
£36000 - £44000 per annum: Recruitment Genius: Encouraging more businesses to ...