Monday, February 9, 2015

Osborne’s ‘recovery’ is twice as slow as the slowest recovery on record

Indices of GDP per head over economic recoveries from the 1830s to today

Looking at GDP per head, the UK economy grew by 5 per cent between 2009 and 2014. Previously, the slowest recovery on a per head basis was from 1886 to 1901, when the economy grew by 10 per cent: twice as fast.

The average recovery speed over five years for previous major recessions is 13.7 per cent, pretty much three times as fast as the present ‘recovery’.

Strikingly, in the recovery from the great depression, GDP per head grew by 21 per cent, an annual rate of 4 per cent against Osborne’s 1 per cent...