A new report has shed light on the direction of the world economy. If you are investment planning in Cheshire, Oswestry or the wider UK economy, Britain is projected to become the fifth biggest economy in the world by 2040.
The research, published by the Centre for Economics and Business Research (CEBR), calculates that total UK GDP will leap, in dollars, from under $4 trillion this year to $6.8 trillion over a period of 15 years. GDP per capita will increase by 3.7% to $58,775 in 2026, and an additional 8.4% per cent over the following four years. If this is accurate, there is every possibility the UK could overtake Japan and challenge leading competitors France and Germany for the mantle of biggest European economy.
The data also underscores the increasing dominance of the US and China in a global race for economic and geopolitical supremacy. The US is forecast to remain ahead of China overall by the end of the next decade with a recorded GDP of $53 trillion versus $48 trillion respectively.
Other Asian powers on the rise include India which, on a current trajectory, is predicted to become the world’s biggest economy by the end of the century, and Indonesia, which is poised to break into the top 10 by 2030. The CEBR CEO Nina Skero said that the world economy is seeing different degrees of resilience across geographical regions and that this will mean a more ‘dispersed and dynamic’ global order.
