Lost UK growth costs households £1,400

The annual cost per household of lost growth to the British economy over the past 15 years has been reported to be approximately £1,400.

British think tank Resolution Foundation published a report titled “How and why the UK economy should be more dynamic.”

The report noted that in the 15-year period since the 2008 global economic crisis, the country’s economy has shrunk by 4 percent compared to its pre-crisis size.

CALL FOR SHIFT FROM TAXES TO WELFARE REFORM

Greg Thwaites, research director at the Resolution Foundation, whose assessments are included in the report, said: “The British economy has spent the last 15 years struggling from one major crisis to the next. Our economy is suffering from the great British slowdown. “The loss of growth in the economy over the last 15 years has caused household incomes to fall by £1,400 a year,” he said.

The think tank report included the assessment that “policymakers must begin to embrace and encourage economic change, from tax and welfare reforms to competition policy.” (AA)