United Kingdom | G20 Tracker

Member Profile: UK

UK: a corrugated economy

UK GDP rose by 0.4% in June 2025 but the overall pattern remains one of corrugated growth: ups and downs each month and a weak overall trend. Click here for full commentary.

Aug 14

Our SWOT Analysis of the UK's economy

1. Financial Services: The UK is a global financial hub with a strong presence in banking, insurance, and financial markets.

2. Education and Research: The country is home to prestigious universities and research institutions that contribute to innovation and skilled workforce.

3. Creative Industries: The UK excels in creative sectors like media, entertainment, fashion, and design, contributing to cultural exports.

4. Global Trade Connections: The UK has historic trade relationships and connections with various international markets.

5. Legal System and Business Environment: The well-established legal framework and business-friendly environment attract investment.

1. Brexit Uncertainty: The UK's decision to leave the EU has introduced uncertainties regarding trade relationships and market access.

2. Aging Population: An aging population presents challenges for workforce availability and social welfare systems.

3. Economic Inequality: Disparities between regions and income inequality could impact social cohesion and economic growth.

4. Manufacturing Decline: The UK's manufacturing sector has declined over the years, leading to some loss of industrial capacity.

5. High Cost of Living: High housing costs and living expenses can affect overall quality of life and affordability.

1. Global Trade Agreements: Negotiating new trade agreements post-Brexit can open up new markets and diversify exports.

2. Innovation and Startups: Fostering innovation and supporting startups can drive economic diversification and job creation.

3. Renewable Energy: Transitioning to renewable energy sources aligns with sustainability goals and can create new industries.

4. Infrastructure Investment: Investing in infrastructure projects can boost economic growth and improve connectivity.

5. Digitalization: Embracing digital technologies can enhance productivity and open up new business opportunities.

1. Brexit Impact: The UK's departure from the EU could lead to disruptions in trade, investment, and market access.

2. Global Economic Uncertainty: The UK's economy is linked to global economic fluctuations, making it vulnerable to external shocks.

3. Geopolitical Factors: Political tensions and conflicts can impact trade relationships and overall stability.

4. Labour Shortages: The aging population could lead to skilled labor shortages and impact productivity.

5. Inflation and Currency Fluctuations: Economic shifts can lead to currency fluctuations and affect purchasing power.

Back to Countries List