Economy of London

Economy of London
London is the largest urban economy in Europe[1] and, alongside New York, the city in the world most integrated with the global economy.[2]
Statistics
Population8,866,180 (2022)[3]
GDP£562.2 billion (2022)[4]
GDP per capita
£63,407 (2022)[4]
Labour force
4,726,000 / 74.4% in employment (Jan–Mar 2024)[a][5]
Labour force by occupation
List
  • 33.2% Professional
  • 16.9% Associate professional
  • 13.1% Managers, directors and senior officials
  • 8.9% Administrative and secretarial
  • 6.6% Elementary occupations
  • 6.5% Caring, leisure and other service
  • 6.0% Skilled trades
  • 5.5% Sales and customer service
  • 3.2% Process plant and machine operatives
  • (Jan–Dec 2023)[b][5]
Unemployment228,000 / 4.6% (Jan–Mar 2024)[c][5]
Average gross salary
£796.30 per week (2023)[d][5]
External
Exports£190.0 billion (2021)[e][6]
Export goods
£37.8 billion (2021)[f][6]
Imports£138.5 billion (2021)[e][6]
Import goods
£62.6 billion (2021)[f][6]

The economy of London is dominated by service industries, particularly financial services and associated professional services, which have strong links with the economy in other parts of the United Kingdom (UK) and internationally.[7] In addition to being the capital city of the United Kingdom, London is one of the world's leading financial centres for international business and commerce and is one of the "command centres" for the global economy.[8][9][10]

London is the most populous region, urban zone and metropolitan area in the United Kingdom.[11] London had the fifth largest metropolitan economy in the world in 2011 according to the Brookings Institution.[12] Some of its neighbourhoods have estimated per capita GVA as high as £116,800 ($162,200).[13] The London fiscal surplus, £32.5 billion in 2016–17,[14] mostly goes towards funding services in other parts of the UK.[15]

London generates approximately 22 per cent of the UK's GDP.[16][17] 841,000 private sector businesses were based in London at the start of 2013, more than in any other region or country in the UK. 18 per cent are in the professional, scientific and technical activities sector while 15 per cent are in the construction sector. Many of these are small and medium-sized enterprises.[18]

  1. ^ Florida, Richard (16 March 2017). "The Economic Power of Cities Compared to Nations". Bloomberg. Retrieved 22 February 2024.
  2. ^ "The World According to GaWC 2020". GaWC. Loughborough University. 21 August 2020. Retrieved 3 June 2023.
  3. ^ "Mid-Year Population Estimates, UK, June 2022". Office for National Statistics. 26 March 2024. Retrieved 3 May 2024.
  4. ^ a b "Regional gross domestic product: all ITL regions". Office for National Statistics. 24 April 2024. Retrieved 15 May 2024.
  5. ^ a b c d "Labour Market Profile - London". Nomis. Office for National Statistics. Retrieved 22 May 2024.
  6. ^ a b c d Tuck, Helen (28 June 2023). "International trade in UK nations, regions and cities: 2021". Office for National Statistics. Retrieved 24 December 2023.
  7. ^ "Key Facts about UK Financial and Related Professional Services 2016". TheCityUK. 7 March 2016. Retrieved 11 October 2016.
  8. ^ Sassen, Saskia (2001). The Global City: New York, London, Tokyo (2nd ed.). Princeton University Press.
  9. ^ Roberts, Richard (2008). The City: A Guide to London's Global Financial Centre. Economist. p. 2. ASIN 1861978588.
  10. ^ "London tops Colliers Cities of Influence index". GFM Ltd. 15 February 2017. Retrieved 20 February 2017; "Global Power City Index 2016". Institute for Urban Strategies, The Mori Memorial Foundation. 18 October 2016. Retrieved 20 February 2017; "Global Financial Centres Index 20" (PDF). Z/Yen and China Development Institute. 26 September 2016. Archived from the original (PDF) on 28 September 2017. Retrieved 11 October 2016; "Cities of Opportunity 7" (PDF). PwC. 7 September 2016. Retrieved 7 September 2016; "European attractiveness survey 2016 – European cities". EY. 24 May 2016. Archived from the original on 22 February 2017. Retrieved 20 February 2017; "London is the soft power and high skills capital of the world". Deloitte. 2 March 2016. Archived from the original on 4 March 2016. Retrieved 2 March 2016.
  11. ^ According to the European Statistical Agency, London is the largest Larger Urban Zone which uses conurbations and areas of high population as its definition. A ranking of population within municipal boundaries places London first. However, the University of Avignon in France claims that Paris is first and London second when including the whole urban area and hinterland, that is the outlying cities as well
  12. ^ "Global city GDP 2011". Brookings Institution. Archived from the original on 5 June 2013. Retrieved 13 May 2013.
  13. ^ "This pocket of London is the richest place in Europe... by far". CNNMoney. 26 February 2016. Retrieved 5 March 2018.
  14. ^ "Fiscal Transfers". Scotfact. Retrieved 29 April 2020.
  15. ^ Clark, Greg (2014). The Making of a World City: London 1991 to 2021. John Wiley & Sons. p. 160. ISBN 978-1-118-60972-9.
  16. ^ "ONS Regional GVA 2013". Office for National Statistics. Retrieved 7 January 2014.
  17. ^ "London's competitive place in the UK and global economies". City of London. 20 January 2011. Archived from the original on 27 April 2015. Retrieved 24 May 2015.
  18. ^ "Business Population Estimates 2013" (PDF). Department for Business, Innovation & Skills. 23 October 2013. Retrieved 16 November 2013.


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