Leaders | Brittle Britain

British productivity is rising at last. But Brexit looms over the economy

On its current path, the country will remain a growth laggard

Apr 14th 2018

LOW productivity growth has plagued Britain’s economy since the financial crisis. From 2010 to 2016 output per hour grew, on average, by just 0.2% a year, down from 2.5% between 1950 and 2007. In the G7 group of rich countries, only Italy has done worse. Productivity drives a country’s living standards in the long term. It is a relief, then, that the stagnation may at last be coming to an end. In the second half of 2017 productivity grew at an annual rate of 3.4%, the fastest growth since 2005.

This article appeared in the Leaders section of the print edition under the headline “Brittle Britain”