Tackling the key causes of the UK\u2019s poor productivity performance could provide an \u00a382 billion boost to the economy, according to a business group. <\/p>\n
Addressing \u201cunderlying barriers that are holding back growth\u201d including poor mobile and transport connectivity and the affordable housing crisis would boost productivity levels, the Building Back Britain Commission said.<\/p>\n
In a report to government, the group called on policymakers to work more closely with the private sector to attract investment \u201cthat targets specific barriers to growth in different areas of the country\u201d.<\/p>\n
The commission, which was formed last year<\/a>, is made up of ten large businesses including British Land, Haleon, Mastercard, Microsoft, London Gatwick and VodafoneThree. It says its aim is to \u201cproduce new analysis and ideas to help unlock economic growth, boost productivity and create more opportunities for people in every part of the country\u201d.<\/p>\n \u2022 Business live: FTSE 100 edges higher as ceasefire holds<\/b><\/a><\/p>\n The report, produced by economists at WPI Strategy, suggests that increasing the productivity levels in 146 local authorities by 1 per cent could deliver a \u00a382 billion boost to the economy over the next five years.<\/p>\n Historically, UK labour productivity has grown by about 2 per cent per year but since the 2008-09 financial crisis it has largely stagnated<\/a>, a trend known as the \u201cproductivity puzzle\u201d<\/a>. <\/p>\n The commission\u2019s recommendations included the creation of a \u201cpipeline fund\u201d to help to speed up planning decisions. The fund would be \u201cprivately financed and independently administered\u201d and used to allocate experienced planners to local authorities that have a shortage in their own teams, they proposed. <\/p>\n