Despite the UK’s economic recovery, productivity growth is “still abysmal”, real wages are running below the rate of inflation, and gross domestic product per head is unlikely to return to pre-crisis levels until 2017, according to a leading economic think-tank. There is still some catch-up to be done in the UK.
- too many British workers work longer hours for lower pay than their counterparts
- the 2008 banking crash knocked the stuffing out of the economy and productivity growth has barely moved ever since
- Studies have looked at whether the near collapse of the banks restricted the supply of credit to companies and prevented them making productivity-enhancing investments
“It takes a German worker four days to produce what we make in five, which means, in turn, that too many British workers work longer hours for lower pay than their counterparts. skills training will drive up UK productivity and put the economy in a better position to withstand the looming shock.”