UK productivity lags global rivals

THE PRODUCTIVITY of British workers has dropped by more than almost all the G7 nations since the financial crisis, even as the labour market appears to be recovering.

A new international comparison by the Office for National Statistics (ONS) shows that the UK is beating only Italy in terms of productivity changes since 2007, with output per employee still dropping.

The UK also performs poorly on real wages, which were about 3.5 per cent below 2006 levels in 2012.