CEBR Report Says, UK To Remain One Of The Top Six Global Economies Post-Covid

• In Updates
• 13 Jan 2022, 12:51 AM
• By Technologist Confidant

According to the latest annual report of Centre for Economic and Business Research (CEBR), the UK will stay as one of the top six economies for the next fifteen years.

In the world economic forecast, Centre for Economic and Business Research (CEBR) predicted that the UK will achieve a growth trend rate of 2.4 per cent annually between the annual year of 2022-2026. In the subsequent year, between 2027-2036, the annual trend in the growth rate will decline to 1.8 per cent. The UK-based think-tank's latest annual report highlights that the UK economy will also remain in the top six global economies for the next fifteen years. 

Most importantly, in the annual report of CEBR, the Asian countries are reported to perform much better, as India is anticipated to be the third-largest economy by 2031 and overtake the UK economy by 2023. The country is expected to significantly improve its ranking in the World Economic League Table (WELT). In the next two decades, the UK will fall to the sixth position but remain ahead of France, which will drop to the seventh position. 

Current situation

The size of the UK’s economy is £2.1 trillion, only 3 per cent larger than France, its European rival. The CEBR report also forecasted that the global Gross Domestic Product (GDP) measured in current prices and dollars would surpass $100 trillion in 2022. The prediction of the global GDP is in line with the estimates of the International Monetary Fund. 
 

Challenges 

For the UK economy, there are reportedly some challenges that need to be looked into:

• Tension over issues like Scottish Independence and the Northern Ireland Protocol
• Government funding during the pandemic
• The UK Government’s fiscal response with respect to public debt as a ratio of GDP reached 108.5 per cent in 2021. 

Future predictions

The Centre for Economic and Business Research in its World Economic League Table predicted:

• In 2030, China will overtake the United States of America to be the largest economy in the world.
• India will be the sixth-largest economy globally, overtaking France and be the third-largest economy by 2031. 
• The size of the UK economy will increase and be 16 per cent larger than the French economy in 2036 despite Brexit.
• Germany will surpass the Japanese economy in terms of economic output in 2033. 
• Consumer spending to decrease due to climate change by $2 trillion a year as economies are expecting a transition to net zero.  
• In 2036, Russia could be in the Top 10 economy while Indonesia in the ninth position in 2034.