UK Public Sector Productivity Declines Further, NHS Performance Under Scrutiny

New data reveals UK public sector productivity is 8% below pre-pandemic levels, with the NHS falling 19% despite increased funding and staffing.

The Office for National Statistics (ONS) reports public sector productivity fell 1.4% year-on-year in Q3 2024, with NHS productivity down 2.4%.
NHS productivity remains 19% lower than pre-pandemic levels, despite a 30% increase in resources and record staffing levels of 2 million employees.
Conflicting assessments from NHS England and ONS complicate the understanding of productivity trends, with NHS England claiming a 2.4% productivity rise in 2024.
Labour's Sir Keir Starmer has pledged systemic NHS reforms and a spending review, while critics highlight delays in addressing inefficiencies and patient care challenges.
Experts warn declining productivity could strain public finances, requiring higher funding to maintain service levels or risking reduced outputs.