Britain remains stuck at the bottom of the G7 for overall investment, despite Labour’s pledge to inject billions of pounds into public spending over the next two years, according to international data.
Figures from the Organisation for Economic Co-operation and Development show that total investment, combining both public and private spending, stood at just 18.6 per cent of GDP in the third quarter of the year. That leaves the UK trailing all other G7 nations, including the United States, Germany, France and Japan.
The data underlines a long-running weakness in the British economy. The UK has recorded the lowest investment rate in the G7 in 23 of the past 31 years, a factor widely blamed for poor productivity growth and weak long-term economic performance.
By comparison, Japan recorded the highest investment rate among the G7 at 27 per cent, while Germany, despite being in a two-year recession, invested around 20 per cent of GDP over the same period.
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