Getting the Economy Growing
Growth is necessary but not sufficient. What matters is the kind of growth — whether it raises living standards broadly, drives investment in productive capacity, and increases the share going to workers rather than capital. These indicators look beyond headline GDP to the structural health of the economy.
Real Per Capita GDP
GDP per person, adjusted for inflation, is the single best measure of whether the economy is actually delivering higher living standards. Total GDP can grow while individuals get poorer if population grows faster.
Productivity
Output per hour worked is the fundamental driver of long-run prosperity. The UK's productivity puzzle — persistently weak growth since 2008 — is the root cause of stagnating wages.
Investment % of GDP
Business and public investment as a share of GDP shows whether the economy is building for the future. The UK consistently invests less than its peers, undermining long-term growth.
Wage % of GDP
The share of national income going to wages versus profits reveals who benefits from growth. A falling wage share means the economy grows but workers see less of the gains.