U.K. workers are still far less productive than before the financial crisis of six years ago even though the country’s economic recovery is “entrenched”, a leading think tank said on Tuesday.
In a quarterly report, the National Institute of Economic and Social Research (NIESR) said labor productivity—a measure of the amount of goods and services produced by one hour of labor—was still around 4.5 percent below the pre-crisis peak of 2007.
“Productivity performance, therefore, remains abysmal,” said NIESR in the report, which was published on Tuesday.
The Institute forecast that pre-crisis productivity levels would be regained, but not before the latter half of 2017.
“Given the continuing puzzle about the causes of poor productivity performance, large uncertainties remain,” it said.