The United Kingdom needs a new economic strategy in order to avert "a decade of continued slow growth" that could leave it "diminished and divided", according to a new report by the Resolution Foundation and Centre for Economic Performance of the London School of Economics.
The launch report of the Economy 2030 Inquiry entitled 'The UK's decisive decade' describes the "scale and nature" of change that the coming decade may bring in economic terms. Concretely, the report examines how prepared the UK is for large-scale change; outlines the economic background of the 2020s; and highlights the importance of managing climate change well.
The report spells out in detail the challenges that the UK's economy faces this decade. In particular, it discusses the challenges posed by the COVID-19 pandemic, Brexit, rapid technological change, an ageing population, and the transition to Net Zero.
In addition, the report highlights how the United Kingdom's economy has stagnated over the past decade—a trend, that if not reversed, will knock the UK's prestige internationally, and result in an ability to produce higher living standards for the population.
The report concludes that the 2020s look set to be the "decisive decade" in which the United Kingdom will need to transform its economy or risk becoming further "divided and diminished".
In 2023, the Inquiry will bring together its work in a book-length final report that will set out a framework for "successfully navigating and shaping" the decade ahead.