Britain’s living standards 'will fall behind former Communist nations' without major growth plan, economists warn
Ministers must refocus public spending on major infrastructure and defence projects to help “turbocharge” growth, experts say.
Living standards in Britain are on track to fall behind those of former Communist nations within the next decade unless the government delivers a plan for economic growth, leading economists have warned.
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The warning comes as the International Monetary Fund predicts Britain will see the slowest growth in living standards across the G7.
The UK is projected to be overtaken by Lithuania in 2030 and by Poland in 2034 if current trends continue, according to new analysis in Prosperity Through Growth, co-authored by Lord Matthew Elliott,
Researchers found the UK ranked as the world’s 30th richest economy in 2024, once cost of living and inflation were accounted for — but is forecast to slip to 46th place by 2050.
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The authors of the report say ministers must refocus public spending on major infrastructure and defence projects to help “turbocharge” growth, The Sun reports.
Former Prime Minister David Cameron said: “We’re in a situation of genteel decline – people just putting up with 1 per cent growth.
"We’re effectively getting poorer, but we’re pretending we aren’t, and we need to convince people it doesn’t have to be that way.
"But we need to convince people we’ve got a very clear plan.”