UK faces 'decade of unprecedented economic change'

The Houses of Parliament in London. - Credit: PA

The UK is poised for a “decade of unprecedented economic change” after Covid-19 and Brexit, a report has claimed.

It comes ahead of the launch of a three-year-long inquiry, with economic and policy experts seeking to examine the nature of economic change and what it means for people.

The Economy Inquiry 2030 is part of a collaboration between the Resolution Foundation and the Centre for Economic Performance at the London School of Economics (LSE).

The project will aim to set out a framework for successfully navigating the challenges and opportunities which lie ahead in the next 10 years.

Torsten Bell, chief executive of the Resolution Foundation, suggested that a better understanding of what the country is going through is needed in order to plan ahead.

He said: “As vaccines are rolled out, debates are turning to how to recover well from Covid-19 and the deepest downturn for 300 years it created. While crucial, this is only part of the task ahead of us.

“The UK is poised for a decade of unprecedented economic change as it not only emerges from the pandemic, but also finds its post-Brexit place in the world, and ramps up its zero-carbon transition.

“Together with technological and demographic change, these shifts pose fundamental questions about our economy at a time when the country lacks a clear sense of its path to prosperity.

“Successfully navigating the 2020s requires both a better understanding of what the country is going through, and a proper plan to shape the UK’s economic future. These are the tasks the Economy 2030 Inquiry will address.”

The work of the inquiry will be carried out by researchers at the Resolution Foundation and the LSE, with the support of an advisory board and will include a work programme examining the lived experience of the UK economy from the perspective of workers, consumers and citizens.

It will include surveys, focus groups and citizens’ juries informing the project throughout its life, with a final report to be delivered in summer 2023.

Stephen Machin, director of the Centre for Economic Performance at the LSE, explained the inquiry will look at how to create a “fair and inclusive” future.

He said: “The current crisis has acted to magnify pre-existing economic and social inequalities.

“The inquiry will examine how best to create a future that is fair and inclusive, proposing solutions which will help us meet the significant challenges ahead.

“As we rebuild the world, we need to rethink how to make the economy work better for all.”

The Economy 2030 Inquiry will be formally launched with a new report and event on Tuesday May 18.