County’s £57bn productivity gap

Paul Houghton, senior partner at Grant Thornton.
Paul Houghton, senior partner at Grant Thornton.
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An extra £57bn could be pumped into Yorkshire’s economy by 2025 - if productivity per work matched the G7 average, according to Grant Thornton.

The accountancy firm says other key findings preventing the county from realising its full potential include:

n Yorkshire exports just six per cent of total UK goods exports, one of the lowest shares in the UK

n Productivity per worker is £39,417, compared to £64,953 in London;

n London has almost twice as many businesses per adult than in Yorkshire;

n If the number of sick days fell to the national average almost 150m of losses would be saved by 2025.

n Filling all job vacancies empty due to skills shortages could provide a £8.9bn boost to the UK economy by 2025.

The findings mark the launch of Grant Thornton’s Vibrant Economy agenda, a nationwide inquiry that aims to unlock the potential of the UK by developing new ways to identify growth opportunities.

Paul Houghton, senior partner at Grant Thornton in Sheffield, said: “We believe that addressing at root some of the UK’s fundamental social and economic challenges collaboratively can create vibrant cities and communities where businesses and people can flourish.

“In the Yorkshire region, while businesses clearly have the opportunity to make many of these changes themselves a series of external factors can also help to reach British business potential.

“These include improved infrastructure, with better transport links, broadband and location topping the list of factors that are most important to business growth.

“The Northern Powerhouse agenda will play a crucial role.”