Laura Sharman 26 November 2019

Halving regional productivity gap would boost economy by £83bn

Halving regional productivity gap would boost economy by £83bn image

The UK economy could be boosted by £83bn per year if regions with below average productivity could close just half of their shortfall, according to a new report.

PwC’s latest UK Economic Outlook found wide variations in domestic productivity per job, with the UK lagging behind other European countries such as Germany, France and Sweden by around 10-15%.

It also found the regional productivity gap in England is getting bigger. Productivity in the best performing local enterprise partnership was 2.1 times more than the lowest-productivity LEP in 2017, compared to 1.8 in 2002. John Hawksworth, chief economist at PwC, said: ‘The prize from closing the regional productivity gap could be large.

‘If LEPs that are performing below the UK average can close 50% of this gap in productivity performance, it could add around £83bn to the economy, equivalent to almost 4% of GDP. Yorkshire and the Humber could see the largest percentage increase (13.5%), followed by Wales (10.7%).’

The report calls for businesses to promote workplace training and skills to help boost productivity across the regions. It also argues that investment in local infrastructure could boost connectivity.

SIGN UP
For your free daily news bulletin
Highways jobs

Trainee Craft Employee x6

Sandwell Metropolitan Borough Council
£18,795 - £19,945 per annum
Seeking to recruit several Trainee Carpenters within the Asset Management and Maintenance Service. Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Social Worker - Family Support & Protection

Essex County Council
£26001.0 - £30000.0 per annum
Please note this role is based in Clacton and is open to Newly Qualified Social Workers (NQSWs). The starting salary for NQSWs is £27,775 per annum an England, Essex, Clacton-On-Sea
Recuriter: Essex County Council

Corporate Director of Neighbourhoods and Climate Change

Durham County Council
£148,583
You will manage a range of front-line services including bins and waste, transport, environmental health, technical services, partnerships and... Durham (County)
Recuriter: Durham County Council

Corporate Director of Regeneration, Economy and Growth

Durham County Council
£148,583
Seeking candidates who are adept at building relationships, able to work successfully with regional and national partners... Durham (County)
Recuriter: Durham County Council

Tenancy Enforcement Assistant

Royal Borough of Greenwich
£22.377 - £23.607
Looking for individuals who have an interest in the environment with good customer service skills, flexible approach to work and a good team player. Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Local Government News

Latest issue - Local Goverrnemnt News

This issue of Local Government News explores how councils can tackle modern slavery and trafficking in their supply chains, finds out more about Cambridge's first cohousing scheme and the launch of a new project to build a shared service pattern library for local government.

This issue also contains a special focus on children's services and how councils are protecting children following local safeguarding children boards being abolished.

Register for your free magazine