Question 1

How big is the UK economy (GDP)?

Accepted Answer

The ONS measures the size of the UK economy as gross domestic product (GDP). It publishes a monthly GDP estimate, a first quarterly estimate about six weeks after each quarter, and later revisions as more data arrives. Figures come in two forms: current prices (cash value) and chained volume measures (adjusted for inflation). Growth claims should use the inflation-adjusted figures. For comparisons with other countries see how UK GDP compares .

Question 2

What is UK GDP per capita?

Accepted Answer

GDP per capita (or per head) is GDP divided by population. The ONS publishes it quarterly in its national accounts as real GDP per head, which is the measure to use for living-standards claims because it takes account of population growth. Total GDP can grow while GDP per head falls if the population grows faster. For international rankings, the IMF and World Bank publish GDP per capita in US dollars at market exchange rates and at purchasing power parity, which can rank countries quite differently.

Question 3

Is the UK in recession?

Accepted Answer

In the UK a recession is usually described as two consecutive quarters of falling real GDP. The ONS reports quarter-on-quarter growth in its first quarterly estimate and in the later quarterly national accounts. Early estimates are often revised, sometimes enough to remove or add a recession, so check the latest vintage before repeating an older claim. The ONS does not itself declare recessions; it publishes the figures.

Question 4

How is UK productivity measured?

Accepted Answer

The ONS measures labour productivity mainly as output per hour worked, and also output per worker and per job. It publishes these quarterly in its productivity overview, with breakdowns by industry and region. The ONS also compares productivity across the G7 using OECD data. Productivity figures are revised when GDP or hours data change, so a figure from a year ago may have moved.

Question 5

What is the UK unemployment rate?

Accepted Answer

The ONS publishes the UK unemployment rate monthly in its labour market overview, covering a rolling three-month period. The rate is the share of economically active people aged 16 and over who are without work, have looked for work in the last four weeks and can start within two weeks. The same release gives the employment rate (16 to 64) and economic inactivity, which together show more than unemployment alone.

Question 6

What is the average salary in the UK?

Accepted Answer

The main official source is the ONS Annual Survey of Hours and Earnings (ASHE), based on employer payroll records. It reports median earnings for full-time employees each year, broken down by region, occupation, age and sex. The median (the middle earner) is lower than the mean because a small number of high earners pull the mean up, so check which one a claim uses. For month-by-month changes, the ONS Average Weekly Earnings series is the measure used in the labour market release.

Question 7

Are wages rising faster than inflation in the UK?

Accepted Answer

The ONS labour market release reports "real" pay growth: regular and total pay adjusted for inflation using CPIH. If real pay growth is positive, average wages are rising faster than prices. These are averages across employees; they do not include the self-employed and do not show what happens to any one household. Claims about pay "since 2008" or "since 2010" depend heavily on the start date and the price index used.

Question 8

How is UK unemployment calculated?

Accepted Answer

The headline rate comes from the Labour Force Survey and follows the International Labour Organization definition: people without a job who have looked for work recently and can start soon. It is a survey estimate, so it has a margin of error. The claimant count is different. It counts people claiming unemployment-related benefits, mainly Universal Credit claimants required to look for work, and includes some people who are in low-paid work. The ONS has flagged lower response rates to the Labour Force Survey since 2023, so check the quality notes on each release.

Economy, jobs and wages: your questions answered