A report by the Centre for Economics and Business Research (CEBR) predicts that the UK will maintain its position among the world’s largest economies, ranking sixth by 2039, ahead of major European nations.
The report anticipates a narrowing gap between the British and German economies, with Germany’s economy expected to be only 20% larger than the UK’s by 2039, compared to the current 31%. Additionally, the UK’s economy is projected to surpass France’s by 25%.
While policies under Prime Minister Keir Starmer’s government, such as tax increases, may dampen short-term growth, the long-term trajectory indicates a growth rate of 1.8%.
These projections come at a time when the European economy is experiencing notable weakness, enhancing the UK’s relative standing.
Global Economic Landscape
On the global stage, the United States is expected to retain its position as the world’s largest economy. China is forecasted to briefly surpass the US before facing setbacks due to structural and demographic challenges.
In terms of GDP per capita, the UK is projected to rise to 21st place globally, while Luxembourg will remain the richest country per capita.
