Productivity

(asked on 8th July 2019) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask Her Majesty's Government what assessment they have made of the reasons for the decline in UK productivity over the last three successive quarters; and of the comparative performance of other advanced economies whose productivity is increasing.


Answered by
Lord Henley Portrait
Lord Henley
This question was answered on 17th July 2019

The fall in productivity in 2019 Q1 was predominantly due to a fall in manufacturing productivity of -0.9%. Productivity in the services sector grew by 0.2% over the same period. A similar pattern was observed in 2018 Q4, with services productivity outperforming manufacturing; growing by 0.4% compared to a fall of -1.1% for the latter.

In terms of international comparisons, based on OECD data, all G7 countries excluding the US (for which data are not yet available) experienced a slowdown in productivity growth in 2018. The UK's productivity growth rate of just over 0.5% in 2018, was the second highest in the G7.

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