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UK Productivity Reassessed

Britain's Productivity Puzzle Solved? Not So Fast.

The Office for National Statistics has introduced a new measure of measuring productivity that suggests the UK economy has been more productive than previously thought since 1997.

The "component approach" estimates annual productivity growth to be 1. 3% since 1997, compared with 1. 1% under the previous methodology. On the surface, this news may seem like a cause for celebration.

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