GMB London study shows GDP per head recovered to 2.1% above 2007 level
The extent and duration of the drop in GDP per head shows the toll on workers incomes arising from the recession, caused by the bankers and the multi millionaire elite says GMB London.
GMB London Region responded to the publication of the figure for GDP for 2016 today and assessed the level of GDP per head each year from 2007 and the impact of the recession.
Warren Kenny, GMB regional secretary for London Region, said
"These figures show that GDP per head in 2016 has recovered and is now 2.1% above the level in 2007.
"The figures also show that GDP per head were below the 2007 level for 7 years due to the recession. In 2008 GDP per head was 6.4% below the 2007 level which was the trough of the recession.
"This fall in GDP per head is the root cause of the real value of earnings for average workers falling in real terms to be still about 12.6% below the pre-recession levels.
"The rise in GDP per head is the only real measure of the potential of the economy to generate wage increases. The extent and duration of the drop in GDP per head shows the toll on workers incomes arising from the recession, caused by the bankers and the multi-millionaire elite. Is it any wonder that people are angry that they have been made to pay for the recession and the costs of saving the banks? Their priority now is to see a recovery in the real value of earnings to 2007 levels.
"The figures also show that a bigger economy is not the same as a more prosperous one for the majority of working people. Demographic factors do play a positive role in the growth of the economy but it is GDP per head that is crucial to productivity and living standards."
