Resolution Foundation says UK productivity outpaces official statistics

A new analysis by the Resolution Foundation argues that Britain’s productivity is improving more quickly than official statistics suggest, indicating the economy may finally be emerging from the lingering effects of the 2008 crisis. The institute employed an alternative to the widely criticised Labour Force Survey and found that output per worker has increased in recent years. It dismisses explanations that attribute the rise to job cuts in low-skill sectors like hospitality and retail, pointing out that the share of workers in those areas remains near pre-pandemic levels.

The study also counters claims that an early AI boom is driving the gains, observing that productivity improvements are spread across many industries. These conclusions align with other optimistic assessments, including the UK being tied for the fastest-growing G7 economy in the first half of 2026 and positive commentary from economists at Morgan Stanley and the London School of Economics.