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United Kingdom

United Kingdom Economy Stats

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Author: chris.lockyer781

The service sector is the mainstay of the United Kingdom economy. It contributes more than 75% of the country’s Gross Domestic Product or GDP. Underpinning the service sector are the finance, aerospace and pharmaceutical industries. The UK boasts of being in the top three worldwide in all of these industries. The UK economy is boosted by north sea gas and oil production.

The UK is the 6th largest national economy in the world and the 3rd largest in Europe. The country is also the 10th largest exporter and the 6th largest importer of goods.

One-sixth of the tax revenue comes from value added tax (VAT) from the consumer market of the economy. The four territories which make up the UK contribute to the economy in this order: England, Scotland, Wales and Northern Ireland.

The currency of the UK is the pound sterling, which is also the world’s third largest reserve currency after the US dollar the Euro.

Overview:

The UK, a leading trading power and financial center, is the third largest economy in Europe after Germany and France. Over the past two decades, the government has greatly reduced public ownership and contained the growth of social welfare programs. Agriculture is intensive, highly mechanized, and efficient by European standards, producing about 60% of food needs with less than 2% of the labor force. The UK has large coal, natural gas, and oil resources, but its oil and natural gas reserves are declining and the UK became a net importer of energy in 2005. Services, particularly banking, insurance, and business services, account by far for the largest proportion of GDP while industry continues to decline in importance. After emerging from recession in 1992, Britain's economy enjoyed the longest period of expansion on record during which time growth outpaced most of Western Europe. In 2008, however, the global financial crisis hit the economy particularly hard, due to the importance of its financial sector. Sharply declining home prices, high consumer debt, and the global economic slowdown compounded Britain's economic problems, pushing the economy into recession in the latter half of 2008 and prompting the then BROWN government to implement a number of measures to stimulate the economy and stabilize the financial markets; these include nationalizing parts of the banking system, cutting taxes, suspending public sector borrowing rules, and moving forward public spending on capital projects. Facing burgeoning public deficits and debt levels, the CAMERON government in 2010 initiiated a five-year austerity program, which aims to lower London's budget deficit from over 11% of GDP in 2010 to nearly 1% by 2015. The Bank of England periodically coordinates interest rate moves with the European Central Bank, but Britain remains outside the European Economic and Monetary Union (EMU).

Definitions

  • Budget > Revenues: Revenues calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms
  • Exports: This entry provides the total US dollar amount of merchandise exports on an f.o.b. (free on board) basis. These figures are calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms.
  • Fiscal year: The beginning and ending months for a country's accounting period of 12 months, which often is the calendar year but which may begin in any month. All yearly references are for the calendar year (CY) unless indicated as a noncalendar fiscal year (FY).
  • GDP: GDP at purchaser's prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources. Data are in current U.S. dollars. Dollar figures for GDP are converted from domestic currencies using single year official exchange rates. For a few countries where the official exchange rate does not reflect the rate effectively applied to actual foreign exchange transactions, an alternative conversion factor is used.
  • GDP > Composition by sector > Industry: The gross domestic product (GDP) or value of all final goods produced by the industrial sector within a nation in a given year. GDP dollar estimates in the Factbook are derived from purchasing power parity (PPP) calculations. See the CIA World Factbook for more information.
  • GDP > Per capita: This entry gives the gross domestic product (GDP) or value of all final goods and services produced within a nation in a given year. A nation's GDP at purchasing power parity (PPP) exchange rates is the sum value of all goods and services produced in the country valued at prices prevailing in the United States. This is the measure most economists prefer when looking at per-capita welfare and when comparing living conditions or use of resources across countries. The measure is difficult to compute, as a US dollar value has to be assigned to all goods and services in the country regardless of whether these goods and services have a direct equivalent in the United States (for example, the value of an ox-cart or non-US military equipment); as a result, PPP estimates for some countries are based on a small and sometimes different set of goods and services. In addition, many countries do not formally participate in the World Bank's PPP project that calculates these measures, so the resulting GDP estimates for these countries may lack precision. For many developing countries, PPP-based GDP measures are multiples of the official exchange rate (OER) measure. The difference between the OER- and PPP-denominated GDP values for most of the weathly industrialized countries are generally much smaller. Per capita figures expressed per 1 population.
  • GDP > Per capita > PPP: This entry shows GDP on a purchasing power parity basis divided by population as of 1 July for the same year.
  • GDP > Purchasing power parity: This entry gives the gross domestic product (GDP) or value of all final goods and services produced within a nation in a given year. A nation's GDP at purchasing power parity (PPP) exchange rates is the sum value of all goods and services produced in the country valued at prices prevailing in the United States. This is the measure most economists prefer when looking at per-capita welfare and when comparing living conditions or use of resources across countries. The measure is difficult to compute, as a US dollar value has to be assigned to all goods and services in the country regardless of whether these goods and services have a direct equivalent in the United States (for example, the value of an ox-cart or non-US military equipment); as a result, PPP estimates for some countries are based on a small and sometimes different set of goods and services. In addition, many countries do not formally participate in the World Bank's PPP project that calculates these measures, so the resulting GDP estimates for these countries may lack precision. For many developing countries, PPP-based GDP measures are multiples of the official exchange rate (OER) measure. The difference between the OER- and PPP-denominated GDP values for most of the weathly industrialized countries are generally much smaller.
  • GDP > Real growth rate: GDP growth on an annual basis adjusted for inflation and expressed as a percent.
  • GDP per capita: GDP at purchaser's prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources. Data are in current U.S. dollars. Dollar figures for GDP are converted from domestic currencies using single year official exchange rates. For a few countries where the official exchange rate does not reflect the rate effectively applied to actual foreign exchange transactions, an alternative conversion factor is used. Figures expressed per capita for the same year.
  • Gross National Income: GNI, Atlas method (current US$). GNI (formerly GNP) is the sum of value added by all resident producers plus any product taxes (less subsidies) not included in the valuation of output plus net receipts of primary income (compensation of employees and prop).
  • Population below poverty line: National estimates of the percentage of the population lying below the poverty line are based on surveys of sub-groups, with the results weighted by the number of people in each group. Definitions of poverty vary considerably among nations. For example, rich nations generally employ more generous standards of poverty than poor nations.
  • Public debt: This entry records the cumulatiive total of all government borrowings less repayments that are denominated in a country's home currency. Public debt should not be confused with external debt, which reflects the foreign currency liabilities of both the private and public sector and must be financed out of foreign exchange earnings.
  • Tourist arrivals: International inbound tourists (overnight visitors) are the number of tourists who travel to a country other than that in which they have their usual residence, but outside their usual environment, for a period not exceeding 12 months and whose main purpose in visiting is other than an activity remunerated from within the country visited. When data on number of tourists are not available, the number of visitors, which includes tourists, same-day visitors, cruise passengers, and crew members, is shown instead. Sources and collection methods for arrivals differ across countries. In some cases data are from border statistics (police, immigration, and the like) and supplemented by border surveys. In other cases data are from tourism accommodation establishments. For some countries number of arrivals is limited to arrivals by air and for others to arrivals staying in hotels. Some countries include arrivals of nationals residing abroad while others do not. Caution should thus be used in comparing arrivals across countries. The data on inbound tourists refer to the number of arrivals, not to the number of people traveling. Thus a person who makes several trips to a country during a given period is counted each time as a new arrival."
  • Unemployment rate: This entry contains the percent of the labor force that is without jobs. Substantial underemployment might be noted.
STAT AMOUNT DATE RANK HISTORY
Budget > Revenues $986.10 billion 2013 6th out of 223
Exports $473.00 billion 2012 10th out of 189
Fiscal year 6 2013
GDP $2.44 trillion 2012 7th out of 177
GDP > Composition by sector > Industry 21.1% 2012 146th out of 217
GDP > Per capita $35,046.59 per capita 2007 21st out of 183
GDP > Per capita > PPP $36,600.00 2012 21st out of 188
GDP > Purchasing power parity $2.31 trillion 2012 8th out of 190
GDP > Real growth rate 0.2% 2012 152nd out of 191
GDP per capita $38,514.46 2012 21st out of 177
Gross National Income $1.48 trillion 2001 4th out of 158
Population below poverty line 14% 2006 18th out of 21
Public debt 88.7% of GDP 2012 19th out of 149
Tourist arrivals 30.14 million 2008 7th out of 145
Unemployment rate 8% 2012 51st out of 112

SOURCES: CIA World Factbooks 18 December 2003 to 28 March 2011; CIA World Factbooks 2010, 2011, 2012, 2013; All CIA World Factbooks 18 December 2003 to 18 December 2008; World Bank national accounts data, and OECD National Accounts data files.; CIA World Factbook 2010, 2011, 2012, 2013; World Bank national accounts data, and OECD National Accounts data files. Population figures from World Bank: (1) United Nations Population Division. World Population Prospects, (2) United Nations Statistical Division. Population and Vital Statistics Report (various years), (3) Census reports and other statistical publications from national statistical offices, (4) Eurostat: Demographic Statistics, (5) Secretariat of the Pacific Community: Statistics and Demography Programme, and (6) U.S. Census Bureau: International Database.; CIA World Factbooks 18 December 2003 to 28 March 2011; World Tourism Organisation, Yearbook of Tourism Statistics, Compendium of Tourism Statistics and data files.

Citation

"United Kingdom Economy Stats", NationMaster. Retrieved from http://www.nationmaster.com/country-info/profiles/United-Kingdom/Economy

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United Kingdom Economy Profiles (Subcategories)

Adjusted savings 3 Intellectual property 8
Aid 6 Interest payments 3
Balance of payments 28 International tourism 14
Budget 15 Investment 3
Business 7 Labor force 3
Changes in net 4 Market capitalization of listed companies 4
Commercial service 4 Merchandise 4
Commercial service imports 4 Merchandise imports 4
Companies 32 Micro 4
Consumption 10 National accounts 103
Currency 16 Natural gas 8
Current account balance 5 Net capital account 4
Current transfers 4 Net current transfers 4
Debt 56 Net current transfers from abroad 6
Economic aid 3 Net errors and omissions 4
Economic growth 7 Net income 4
Economic structure 4 Net income from abroad 6
Electricity 8 Net incurrence of liabilities 3
Entrepreneurship 12 Net trade in goods 4
Exports 3 Net trade in goods and services 4
External balance on goods and services 7 Oil 10
Final 20 Portfolio investment 4
Financial sector 25 Poverty 3
Foreign direct investment 14 Poverty and inequality 8
GDP 42 Productivity 5
GDP growth 3 Public expenditure 4
GDP per capita 4 Purchasing power parity 11
GNI 12 Reserves 6
Goods 4 Retail 3
Goods imports 4 Royalty and license fees 8
Government 13 Savings 44
Government debt 8 Service 4
Government deficits and debt 4 Service imports 4
Government spending 5 Services 10
Gross capital formation 10 Spending 73
Gross domestic savings 6 Stock of direct foreign investment 6
Gross fixed capital formation 10 Stocks traded 5
Gross national expenditure 9 Support and aid 4
Gross savings 6 Tax 69
Gross value added at factor cost 9 Taxes 3
High-technology 4 Total 9
Household final 23 Tourism 21
Income 24 Tourism expenditures 5
Income distribution 4 Tourism receipts 5
Income payments 4 Tourist arrivals by region of origin 7
Income receipts 4 Trade 648
Inequality 13 Trademark applications 4
Inflation 9 Transnational corporations 4
Innovation 42 Welfare 5
United Kingdom ranked first for debt > external amongst Europe in 2012.
United Kingdom ranked third for GDP amongst European Union in 2012.
United Kingdom ranked second last for GDP per capita amongst Group of 7 countries (G7) in 2012.
United Kingdom ranked #6 for budget > revenues globally in 2013.
United Kingdom ranked first for current transfers > receipts > boP > current US$ amongst Heavily indebted countries in 2005.
United Kingdom ranked first for tourist arrivals by region of origin > europe amongst Cold countries in 2005.
United Kingdom ranked first for foreign direct investment > net inflows > boP > current US$ amongst High income OECD countries in 2005.
United Kingdom ranked first for companies > market capitalization of listed companies > current US$ amongst NATO countries in 2012.

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The service sector is the mainstay of the United Kingdom economy. It contributes more than 75% of the country’s Gross Domestic Product or GDP. Underpinning the service sector are the finance, aerospace and pharmaceutical industries. The UK boasts of being in the top three worldwide in all of these industries. The UK economy is boosted by north sea gas and oil production.

The UK is the 6th largest national economy in the world and the 3rd largest in Europe. The country is also the 10th largest exporter and the 6th largest importer of goods.

One-sixth of the tax revenue comes from value added tax (VAT) from the consumer market of the economy. The four territories which make up the UK contribute to the economy in this order: England, Scotland, Wales and Northern Ireland.

The currency of the UK is the pound sterling, which is also the world’s third largest reserve currency after the US dollar the Euro.

Posted on 28 Mar 2014

chris.lockyer781

chris.lockyer781

393 Stat enthusiast

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