Britain is the sick man of the G7 – and no-one’s to blame but ourselves

Will Straw details the news that Britain is the 'sick man' of the G7, and asks why that is.

 

The print edition of today’s Daily Mirror includes an article headlined ‘Tory-led Britain is “sick man of G7”’. The article is based on new IPPR research showing how badly Britain is faring against its major competitors on jobs and growth.

New unemployment data released last week showed that Britain’s unemployment rate had increased for the fourth successive quarter.

Graph 1 shows Britain’s jobs record since the start of the recession will soon be the worst in the G7. Britain’s unemployment rate has risen 3.3 per cent since the recession started – higher than any country bar the United States.

But the US has been gaining jobs in recent months while the UK continues to lose them. Germany, by contrast, has reduced its unemployment rate by 2.4 per cent since the recession started.

Graph 1:


Graph 2, meanwhile, shows only tsunami-hit Japan and Eurozone-afflicted Italy have recovered as poorly as the UK.

Canada, Germany and the US have all recovered all the lost output from the recession and are now larger economies than they were at the start of 2008. France, meanwhile, will soon have recovered all its lost output. But the UK economy, which shrank 7 per cent at its lowest point, is still 3.8 per cent smaller than it was in early 2008.

The crisis economies of Japan, which is 4 per cent smaller than its previous peak, and Italy (5.2 per cent lower) are the only countries with a worse story.

Graph 2:

Real-GDP-2008-2012
Figures released today confirm that the Eurozone crisis is not to blame for the UK’s stagnant economy. These new figures comparing Britain’s record with its G7 partners show that a different path – one taken in both North America and Europe – was possible.

See also:

Businesses in a funk: The real reason GDP fell in Q4 2011Tony Dolphin, February 24th 2012

CBI carry on tradition of alarmingly optimistic growth forecastsAlex Hern, February 13th 2012

New growth figures point to 2012/3 deficit 50 per cent bigger than originally projectedDaniel Elton, February 9th 2012

Positive trade figures undermine Osborne’s claim that Eurozone is to blame for negative growthWill Straw, February 9th 2012

Economic Update – February 2012: Double dippedTony Dolphin, February 7th 2012

20 Responses to “Britain is the sick man of the G7 – and no-one’s to blame but ourselves”

  1. Steve Preston

    Coalition failure drags UK down //t.co/zs0f7jmB

  2. Anonymous

    Nothing like blaming others for your errors.

    Why use “We”?

    I’m not in your group. I’m not in the Tories or any other political group. However, politicians are the reason for failure. From letting the banks loose to running up a 7,000 bn debt, politicians are at the heart of the failure.

    So you use we because you want to include others and deflect the cause of the mess from your decisions to others.

  3. Will Straw

    @thejamesmax So why have France and Germany done so much better? //t.co/uS01quuZ

  4. BevR

    Britain is the sick man of the G7 – and no-one's to blame but ourselves, writes @wdjstraw: //t.co/1aJEZNSi

  5. Michael

    Britain is the sick man of the G7 – and no-one’s to blame but ourselves – //t.co/h0IBWbzL

  6. paulstpancras

    Britain is the sick man of the G7 – and no-one’s to blame but ourselves – //t.co/h0IBWbzL

  7. TheCreativeCrip

    Britain is the sick man of the G7 – and no-one’s to blame but ourselves – //t.co/h0IBWbzL

  8. Martin Steel

    Britain is the sick man of the G7 – and no-one's to blame but ourselves, writes @wdjstraw: //t.co/1aJEZNSi

  9. LeChatdOsiris®

    Left Foot Forward: "Britain is the sick man of the G7 – and no-one’s to blame but ourselves – //t.co/WF7wRNYT"

  10. Newsbot9

    You’re supporting the Tory policies, you’re calling for more of the same demonstrably-failed right wing idiocies. You ARE to blame, as long as you try to cut this country’s economic throat.

  11. Cliff

    Our Politictions have run this country to wall and this latest lot are no better we are a lost country heading on a downward path to God only knows what, thankfully I wont be here to see it.

  12. Mr. Sensible

    What will it take for Cameron and Clegg to admit they got it wrong and change course?

  13. Newsbot9

    They’re doing fine for themselves, and are on line to achieve longer-term goals like a market “NHS” and gerrymandering, why should they change course?

  14. Graham Jones

    RT @leftfootfwd: Britain is the sick man of the G7 – and no-one's to blame but ourselves //t.co/jA3xxSJZ

  15. Delroy Booth

    RT @leftfootfwd: Britain is the sick man of the G7 – and no-one's to blame but ourselves //t.co/jA3xxSJZ

  16. Alex Braithwaite

    RT @leftfootfwd: Britain is the sick man of the G7 – and no-one's to blame but ourselves //t.co/53cyrl13

  17. BevR

    RT @leftfootfwd: Britain is the sick man of the G7 – and no-one's to blame but ourselves //t.co/wF8OvxXT

  18. Scott Redding

    "Britain’s jobs record since the start of the recession will soon be the worst in the G7" – @wdjstraw – //t.co/eXvZxvqP

  19. geordietoff

    RT @leftfootfwd: Britain is the sick man of the G7 – and no-one's to blame but ourselves //t.co/VhBOQwwn

  20. UK economy will hit the rocks if Osborne follows Allister Heath’s plan | Left Foot Forward

    […] the UK and US had the worst unemployment record following the financial crisis. Germany, which has added jobs over the same period, comes 28th out […]

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