Despite our reputation as a strong manufacturing nation, productivity has long been the Achilles’ heel of the UK’s economy. Although we are now the eighth largest manufacturing nation, international comparisons show that the USA and Germany produce about one-sixth more than the UK per hour worked.
Looking beyond the economy-wide picture, whilst productivity is an issue for all industries, it is an ongoing struggle for our manufacturing sector in particular. Productivity levels have essentially flatlined since the pandemic, with ONS data revealing that in the first quarter of 2023, manufacturing actually made a negative contribution to productivity growth.
Read the full article in DPA's November issue