CAPITAL’S ECONOMY IS ON THE UP:
CARDIFF’S rate of economic growth outstripped that of London over the past year, according to figures released yesterday by the Office for National Statistics (ONS).
The Welsh capital, along with the Vale of Glamorgan, is the wealthiest part of Wales.
The city’s surge in GVA – a measure economists use to gauge the wealth of a country and its people – rose by 4.5% per head of population compared to 3.7% for Londoners.
The figures mean Cardiff’s GVA per head, at £24,701, is now not far below the UK average.
It comes as Wales was named the fastest-growing nation in the UK last year with an annual growth rate of 1.9%
However, the impressive rate of growth still left people in Wales poorer on average than their counterparts in England, Scotland and Northern Ireland with the lowest GVA (gross value added) per head.
GVA per head in Wales was £19,140 in 2016, compared to £27,108 in England, £24,800 in Scotland and £19,997 in Northern Ireland.
The ONS offered no explanations for why growth was stronger in Wales than in the other UK nations.
Yesterday morning First Minister Carwyn Jones tweeted: “Today’s figures from @ONS show that Wales was the fastest-growing country in the UK with economic output (GVA) rising to nearly £60bn between 2015 & 2016.”
But the Welsh Conservatives focused on the figures showing that Wales is still bottom of the league table in terms of personal wealth.
Welsh Conservative Shadow Economy Secretary Russell George said: “These figures are an appalling reflection of successive Labour-led governments.
“After four major economic relaunches, and 18 years of Labour rule, Wales remains the poorest part of the UK.
“Just last week we saw the latest attempt to rebrand Welsh Labour’s failing economic strategy.
“Sadly, it’s just window dressing, and it’s clear that Labour don’t have a meaningful plan for Wales.
“Our country can succeed globally, but it needs a Welsh Government which can unlock its potential and make the most of the opportunities ahead.”
The national figures hide marked inequalities at a more local level.
While Cardiff and the Vale of Glamorgan have GVA per head of £24,701, a short drive away in the Gwent Valleys it is almost £10,000 lower at £14,759 – and in Anglesey it is lower still at £13,655.
This compares to Camden and the City of London where the GVA per head was more than 23 times higher at £318,673.
Plaid Cymru Shadow Cabinet Secretary for the Economy, Adam Price AM said: “The growth in the Welsh economy is to be welcomed but we must not forget that we’re still playing catch-up with most parts of the UK.
“Economic productivity per head in Wales at just over £19,000 per head remains significantly lower than the UK average of £26,000.”