UK recovery data shows London pulling ahead of other English regions

British capital's GDP growth in second quarter for 2022 topped the country's nine regions

With 1.2 per cent, London had the largest positive quarter-on-quarter growth in last year's April to June period. Reuters

The latest regional figures for the UK economy show that London grew at a faster pace than the other eight English regions in figures that highlighted the government's challenges in shifting growth outside the capital.

The Office for National Statistics (ONS) said London had the largest positive quarter-on-quarter growth in last year's April to June period at 1.2 per cent, while the largest negative growth was in the North-east, at 1.6 per cent.

Overall UK GDP growth in Q2 of 2022 was 0.1 per cent, part of an up-and-down year in which Britain posted a 4 per cent increase, the fastest in the G7 grouping.

"Of the nine English regions, only London, the east of England and Yorkshire and the Humber are estimated to have shown positive growth in quarter two, 2022, with growth flat in the North-west," the ONS said.

"The North-east, South-east, East Midlands, South-east and West Midlands all showed negative growth, with the largest negative growth at 1.6 per cent in the North-east."

Compared with the same quarter in 2021, London's economy grew by 9.5 per cent, followed by the North-west with growth of 3.6 per cent.

The ONS pointed out that "regional data can be volatile and quarterly movements should be considered alongside the long-term trend".

The stronger performance by London brings into question the effectiveness of the British government's levelling-up policy, which aims to create opportunities for everyone across the UK, backed up by a £4.8 billion ($5.81 billion) fund.