Low growth implications for living standards particularly bleak

In the aftermath of such a deep fall in output the implications of today’s growth figures for real trends in living standards are particularly bleak.

James Plunkett is the secretary to the Resolution Foundation’s Commission on Living Standards

This morning’s weak Q2 stats (pdf) would be worrying in any recovery. But in the aftermath of such a deep fall in output their implications for real trends in living standards are particularly bleak. The UK economy still has a long way to climb back to pre-recession levels of output. Chart 1 below (now updated from a recent post to include Q2 stats) puts the scale of the task in perspective.

If today’s 0.2 per cent figure proves right, GDP remains 3.9 per cent below it’s pre-recession peak. Even if we see a strong rise in Q3, this will still have been by far the longest period in recent memory in which GDP’s upward march has lost its feet.

Chart 1:


The big question now is not just what happens next, but also what underlies today’s figures. We’ll need to wait until the publication of the Quarterly National Accounts on October 5th before we know how much of today’s anaemic 0.2 per cent growth rests on households sweating their savings to keep consumption moving.

As you’re here, we have something to ask you. What we do here to deliver real news is more important than ever. But there’s a problem: we need readers like you to chip in to help us survive. We deliver progressive, independent media, that challenges the right’s hateful rhetoric. Together we can find the stories that get lost.

We’re not bankrolled by billionaire donors, but rely on readers chipping in whatever they can afford to protect our independence. What we do isn’t free, and we run on a shoestring. Can you help by chipping in as little as £1 a week to help us survive? Whatever you can donate, we’re so grateful - and we will ensure your money goes as far as possible to deliver hard-hitting news.

30 Responses to “Low growth implications for living standards particularly bleak”

  1. BendyGirl

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  2. Joanna Sholem

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  3. Mr W.H.

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  4. Len Arthur

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  5. James Plunkett

    A killer chart to put Q2 stats in context – http://bit.ly/qqn65b – bleak implications for living standards

  6. James Plunkett

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  7. Michael

    Low growth implications for living standards particularly bleak l Left Foot Forward – http://j.mp/riZxS8

  8. TP recommends...

    James Plunkett of the Resolution Foundation examines the impact of the growth figures on living standards @leftfootfwd http://bit.ly/oj0hwA

  9. False Economy

    RT @leftfootfwd: Low growth implications for living standards particularly bleak: http://t.co/ol4qVBV by @ResFoundation's @JamesTPlunkett

  10. James Mills

    RT @leftfootfwd: Low growth implications for living standards particularly bleak: http://t.co/ol4qVBV by @ResFoundation's @JamesTPlunkett

  11. paulstpancras

    RT @leftfootfwd: Low growth implications for living standards particularly bleak: http://t.co/ol4qVBV by @ResFoundation's @JamesTPlunkett

  12. neilrfoster

    RT @leftfootfwd: Low growth implications for living standards particularly bleak: http://t.co/ol4qVBV by @ResFoundation's @JamesTPlunkett

  13. Chris Goulden

    RT @jamestplunkett A killer chart to put Q2 stats in context – http://bit.ly/qqn65b – bleak implications for living standards

  14. Abigail Scott Paul

    RT @jamestplunkett A killer chart to put Q2 stats in context – http://bit.ly/qqn65b – bleak implications for living standards

  15. Jon Wilson

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  16. Simon

    Low growth implications for living standards particularly bleak http://t.co/aRTpkbt

  17. Bruno Bear

    RT @leftfootfwd: Low growth implications for living standards particularly bleak: http://t.co/ol4qVBV by @ResFoundation's @JamesTPlunkett

  18. Shamik Das

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  19. Νέα Νέμεσις Εργασίας

    Chart at @leftfootfwd shows just how serious #Labour's attempt to scuttle the ship actually was @leftfootfwd: http://t.co/4Yb5NtS

  20. Kevin Grogan

    Chart at @leftfootfwd shows just how serious #Labour's attempt to scuttle the ship actually was @leftfootfwd: http://t.co/4Yb5NtS

  21. Duncan Weldon

    Recommend @nicolatuc on the right's wrong cures http://t.co/jfUtQZD & @jamestplunkett on growth and living standards http://t.co/93vdugy

  22. jorjun

    Chart at @leftfootfwd shows just how serious #Labour's attempt to scuttle the ship actually was @leftfootfwd: http://t.co/4Yb5NtS

  23. NoBigGovDuh

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  24. Mike

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  25. Wikiminster

    Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by the Resolution Foundation's @JamesTPlunkett

  26. ResolutionFoundation

    RT @leftfootfwd: Low growth implications for living standards particularly bleak: http://bit.ly/qqn65b by @ResFoundation's @JamesTPlunkett

  27. Has the coalition lost the plot on growth? | Left Foot Forward

    […] the depressing growth figures on Tuesday, coalition big wigs have been keen to offer their hapoth’s worth to George […]

  28. Enterprise Zones are the dusting down of a failed Thatcherite policy | Left Foot Forward

    […] the economy running on empty and no Plan A or Plan B from Cameron, Osborne and Cable, the government have turned the clock […]

  29. Look Left – Just when you thought hackgate couldn’t get any worse... | Left Foot Forward

    […] are bleak, as James Plunkett of the Resolution Foundation’s Commission on Living Standards explained on Left Foot Forward: “This morning’s growth stats would be worrying in any recovery. But in […]

  30. Low growth implications for living standards particularly bleak

    […] This blog originally appeared on Left Foot Forward […]

Leave a Reply

You must be logged in to post a comment.