MACROECONOMIC GROWTH

GDP per capita: 22,577.23 (real)24,862.00 (nominal)Real gdp: 1,438,339Nominal gdp: 1,583,892Nominal gdp: 1,583,892Gdp deflator: 110.12Population: 64,097,085Employed: 29.4 millionLabor force rate: Unemployment rate: 7.9%Inflation rate: 2.7%

Real gdp: 1,438,339

Exports:$813.2 billion (est as of 2013)Sources of exports:Manufactured goods, chemicals, food, beverages, tobacco, automotive mobiles and components

1945 to 1980 Significant Influence

End of the Second World War, the United Kingdom enjoyed a long period without a major recession (from 1945 to 1973) Rapid growth in prosperity in the 1950s and 1960s, with unemployment staying low The 1973 oil crisis and the 1973–1974 stock market crash

1979 to 1997 Significant Influence

During the 1980s most state-owned enterprises were privatized, taxes cut, union reforms passed and markets deregulatedGDP fell 5.9% initially but growth subsequently returned and rose to 5% at its peak in 1988, one of the highest rates of any European nationincrease in unemployment was substantially due to government economic policy Popularity of the Conservative government failed to improve with the economic upturn

1997 to 2008 Significant Influence

Labor Party, led by Tony Blair made decision to keep taxes relatively low and abandon traditional Labor policies including public ownership of industries and utilities. The previous 15 years had seen one of the highest economic growth rates of major developed economies during that time and certainly the strongest of any European nationGDP growth had briefly reached 4% per year

2008 to present day Significant Influence

UK entered a recession in Q2 of 2008 and exited it in Q4 of 2009, according to Office for National StatisticsIn Q1 of 2012, the UK economy was thought to have entered a double-dip recession by posting two consecutive negative quarters of growthThe UK has lost its triple-A credit rating on the basis of poor economic outlook. In 2013 Q1 the economy grew by 0.5%, in Q2 the economy grew by 0.7%, in Q3 the economy grew by 0.8% and in Q4 the economy grew by 0.7%. 2014 continues this trend, with both Q1 and Q2 growing by 0.8% respectively.

The UK has the world’s eighth largest economy in nominal GDP-termsThe UK has the fourth highest GDP per capita in the G7During the downturn, the UK saw one of the largest falls in real GDP among G7 countries

1990 1995 2000 2005 2010 20150.5

1

1.5

2

2.5

3

United Kingdom, Gross Domestic Product

Year

£ T

rillio

n

20071993

1948

1952

1956

1960

1964

1968

1972

1976

1980

1984

1988

1992

1996

2000

2004

2008

2012

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

1.80

Real GDP

£ trillion

2009 2010 201128.85

28.9

28.95

29

29.05

29.1

29.15

29.2

28.96

29.019

29.166

Employment

Employment

Population

Population

2009 2010 20117.4

7.5

7.6

7.7

7.8

7.9

8

8.1

8.2

7.65

7.85

8.1

Unemployment Rate

Unemployment Rate

Population•29.84 million people were in

work in May to July 2013• the employment level rose 80,000 on the previous quarter •275,000 on the year the employment rate is 71.6%, up 0.2 points on the quarter and up 0.4 points on the year

2009 2010 201128.8

2929.2

Employment

2009 2010 20117

9

Unemployment Rate

UK compared to:United States

Japan

Germany France

Population (Million)

FranceGermanyJapanUnited KingdomUnited States

United States Japan

GermanyFrance

United Kingdom

14,417.95

5,035.14

3,306.782,626.49

2,217.43

14,958.30

5,495.39

3,310.602,569.82

2,296.93

15,533.83

5,905.63

3,631.442,784.76

2,464.64

Gross domestic product, current prices

2009 2010 2011

Fran

ce

Germ

any

Japa

n

Unite

d Ki

ngdo

m

Unite

d St

ates

020406080

100120140160

Employment

20092010201120122013

Fran

ce

Germ

any

Japa

n

Unite

d Ki

ngdo

m

Unite

d St

ates

0

4

8

12

Unemployment Rate

200920102011201220132014