Record investment will help tackle one of the UK’s most pressing problems, says Jennifer Rubin
The UK’s productivity has stagnated since 2007 and by some estimates is now up to 20 per cent lower than that of comparable nations. Had the economy continued growing at its pre-2007 rate, GDP would have been about £300 billion larger when the pandemic hit. This is a pressing problem, given that improving productivity is necessary to improving incomes, public services and quality of life across the UK.
Tackling the country’s productivity puzzle raises complex questions. Researchers have made great progress in answering them, but we need to know more. How can we ensure business and innovation are driven by the most diverse workforce, talent and skills available? How does wellbeing contribute to productivity? How can innovations and improvements be most effectively spread and taken up by others? And how can we increase productivity in a sustainable economy, while reducing carbon emissions?