The United Kingdom is the seventh largest economy in the world measured by Purchasing Power parity with 2.634 trillion dollars while service sector dominates its economy as it contributes about 78 percent of gross domestic product. On the other hand, significance of financial sector cannot be overlooked as well because London is the world largest financial center in the world.
Although the UK has several prominent title like 4th largest importer and exporter, 2nd largest stock of inward direct investment and others, yet it is also facing the challenge of elevating cost of living standard as Office for National statistic in the UK releases periodically data regarding different economic figure and now it has issued the latest figure about Gross domestic product that is 0.7 percent over the past three months compared with 0.9 percent growth in the quarterly period of April to June while the wage growth was 0.7 percent which also fall behind the inflation rate of 1.2 percent.
Instead, Treasury Chief George osborne has expressed satisfaction over the growth rate and termed the wage growth indicator lagging. Treasury Chief has opined that Wage growth would follow suit soon. In addition to this, UK government has also claimed that their measures have brought the economy back on the right track.
Analyst believe that measures taken to improve job creation resulted in creating low-level job role while the Real economic growth comes into being by generating role all across the board. Besides, UK output grown by 3.4 percent while its population grow at the rate of 4.5 during the same period which means that its GDP per capital still remained one percent lower than of 2008 that is unsatisfactory. However, critics believe that creating economic environment that is positive for labor should be of prime important to the government and officials would take steps in this direction to bring the economic growth up to the suitable level.