Source · Select Committees · Treasury Committee
Recommendation 8
8
Paragraph: 65
There are productivity-enhancing opportunities arising from the pandemic, in an increased take up of digital...
Recommendation
There are productivity-enhancing opportunities arising from the pandemic, in an increased take up of digital technologies and in remote working in certain circumstances. The Government should be looking at how it can facilitate these positive developments, while also being mindful of the challenges it could present to the UK’s existing economic structure and geography.
Paragraph Reference:
65
Government Response
Acknowledged
HM Government
Acknowledged
This section is addressing recommendations in paragraph 65, 72, 92 and 100 on productivity enhancing opportunities and challenges after Coronavirus; addressing the investment shortfall through tax incentives and policy certainty; economic opportunities as a result of Brexit and supporting firms affected by changes in trade between the UK and EU; and Help to Grow funding moving forward. Productivity growth has slowed in the UK since the Global Financial Crisis. As the report raises, this issue was exacerbated by the COVID19 pandemic and the public health measures in response, such as businesses indebtedness and individuals withdrawing from the labour market. The government continues to monitor these. Increasing productivity is vital for accelerated and sustained economic growth and that is why government has announced a package to reform and invest in the key supply side drivers of productivity gains.