UK productivity drops at fastest pace for five years

&Tab;&Tab;<div class&equals;"wpcnt">&NewLine;&Tab;&Tab;&Tab;<div class&equals;"wpa">&NewLine;&Tab;&Tab;&Tab;&Tab;<span class&equals;"wpa-about">Advertisements<&sol;span>&NewLine;&Tab;&Tab;&Tab;&Tab;<div class&equals;"u top&lowbar;amp">&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;<amp-ad width&equals;"300" height&equals;"265"&NewLine;&Tab;&Tab; type&equals;"pubmine"&NewLine;&Tab;&Tab; data-siteid&equals;"111265417"&NewLine;&Tab;&Tab; data-section&equals;"2">&NewLine;&Tab;&Tab;<&sol;amp-ad>&NewLine;&Tab;&Tab;&Tab;&Tab;<&sol;div>&NewLine;&Tab;&Tab;&Tab;<&sol;div>&NewLine;&Tab;&Tab;<&sol;div><p>Britain’s productivity has fallen at the fastest annual pace in five years in a sign that Brexit uncertainty is compounding an already weak spot in the UK economy&period;<&sol;p>&NewLine;<p>Official figures showed that output per hour worked fell 0&period;5&percnt; year-on-year between April and June – the biggest drop since the second quarter of 2014&period;<&sol;p>&NewLine;<p>Productivity fell 0&period;2&percnt; quarter-on-quarter&comma; according to the Office for National Statistics &lpar;ONS&rpar;&period;<&sol;p>&NewLine;<p>The drop in year-on-year productivity in the labour market follows two previous quarters of zero growth&period;<&sol;p>&NewLine;<blockquote class&equals;"twitter-tweet" data-width&equals;"550" data-dnt&equals;"true">&NewLine;<p lang&equals;"en" dir&equals;"ltr">Labour productivity in Q2 2019 was down by 0&period;5&percnt;&comma; compared with the same quarter for 2018&period;<&sol;p>&NewLine;<p>This follows two previous quarters of no growth <a href&equals;"https&colon;&sol;&sol;t&period;co&sol;Pr0JNFEuPI">https&colon;&sol;&sol;t&period;co&sol;Pr0JNFEuPI<&sol;a> <a href&equals;"https&colon;&sol;&sol;t&period;co&sol;bDOufHySaQ">pic&period;twitter&period;com&sol;bDOufHySaQ<&sol;a><&sol;p>&NewLine;<p>&mdash&semi; Office for National Statistics &lpar;ONS&rpar; &lpar;&commat;ONS&rpar; <a href&equals;"https&colon;&sol;&sol;twitter&period;com&sol;ONS&sol;status&sol;1181487283406561280&quest;ref&lowbar;src&equals;twsrc&percnt;5Etfw">October 8&comma; 2019<&sol;a><&sol;p><&sol;blockquote>&NewLine;<p><script async src&equals;"https&colon;&sol;&sol;platform&period;twitter&period;com&sol;widgets&period;js" charset&equals;"utf-8"><&sol;script><&sol;p>&NewLine;<p>It comes after years of below-par productivity – leading to the so-called &OpenCurlyDoubleQuote;productivity puzzle” seen in the UK economy since the 2008 financial crisis and following recession&period;<&sol;p>&NewLine;<p>Richard Heys&comma; deputy chief economist at the ONS&comma; said&colon;<em> &OpenCurlyDoubleQuote;Labour productivity has continued the weak trajectory it has followed over the last year&period;<&sol;em><&sol;p>&NewLine;<p><em>&OpenCurlyDoubleQuote;Both manufacturing and services saw a fall on this time last year&comma; with only a couple of other relatively small sectors contributing positively&period;<&sol;em><&sol;p>&NewLine;<p><em>&OpenCurlyDoubleQuote;This confirms the broad base of the UK’s productivity challenges&period;”<&sol;em><&sol;p>&NewLine;<p>The ONS figures showed the dominant services sector&comma; which accounts for around three quarters of UK economic output&comma; saw a 0&period;8&percnt; fall year-on-year in productivity&comma; while manufacturing suffered a 1&period;9&percnt; drop&period;<&sol;p>&NewLine;<p>Experts said the data suggests another area where Brexit uncertainty has taken its toll&period;<&sol;p>&NewLine;<p>There are also cracks appearing in the wider employment market&comma; with two major recruiters on Tuesday – PageGroup and Robert Walters – warning over the impact of Brexit on the UK jobs sector&period;<&sol;p>&NewLine;<p>Howard Archer&comma; chief economic adviser to the EY ITEM Club&comma; said&colon; <em>&OpenCurlyDoubleQuote;Heightened concerns over Brexit – especially serious concerns among many companies of the UK leaving the EU without a &OpenCurlyQuote;deal’ at the end of October – has clearly caused companies to limit their investment with damaging implications for productivity&period;”<&sol;em><&sol;p>&NewLine;<p>Business investment fell again between April to June – marking declines in five out of the six last quarters&period;<&sol;p>&NewLine;<p>Jon Boys&comma; labour market economist at the CIPD&comma; the professional body for HR and people development&comma; said&colon; <em>&OpenCurlyDoubleQuote;Though we talk of a productivity puzzle&comma; there is an obvious culprit and that’s uncertainty&period;<&sol;em><&sol;p>&NewLine;<p><em>&OpenCurlyDoubleQuote;Government needs to reduce uncertainty&comma; so businesses aren’t deterred from investing for the future&period;”<&sol;em><&sol;p>&NewLine;&Tab;&Tab;&Tab;<div style&equals;"padding-bottom&colon;15px&semi;" class&equals;"wordads-tag" data-slot-type&equals;"belowpost">&NewLine;&Tab;&Tab;&Tab;&Tab;<div id&equals;"atatags-dynamic-belowpost-68eccb5c2286f">&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;<script type&equals;"text&sol;javascript">&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;window&period;getAdSnippetCallback &equals; function &lpar;&rpar; &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;if &lpar; false &equals;&equals;&equals; &lpar; window&period;isWatlV1 &quest;&quest; false &rpar; &rpar; &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&sol;&sol; Use Aditude scripts&period;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;window&period;tudeMappings &equals; window&period;tudeMappings &vert;&vert; &lbrack;&rsqb;&semi;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;window&period;tudeMappings&period;push&lpar; &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;divId&colon; 'atatags-dynamic-belowpost-68eccb5c2286f'&comma;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;format&colon; 'belowpost'&comma;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub; &rpar;&semi;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub;&NewLine;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;if &lpar; document&period;readyState &equals;&equals;&equals; 'loading' &rpar; &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;document&period;addEventListener&lpar; 'DOMContentLoaded'&comma; window&period;getAdSnippetCallback &rpar;&semi;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub; else &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;window&period;getAdSnippetCallback&lpar;&rpar;&semi;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;<&sol;script>&NewLine;&Tab;&Tab;&Tab;&Tab;<&sol;div>&NewLine;&Tab;&Tab;&Tab;<&sol;div>


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