London

London remains in 1st place with expenditure growth of 5.9% and the highest GDP per capita, despite only growing by 1.6%.

Measure

Results

Household wealth:

£239,300

GDP:

£43,629

Unemployment:

5.7%

Household expenditure:

£652 per week

House prices

£502,787

Exam achievements

60.6%

Hours worked:

34.4

Earnings:

£41,279

Business births/deaths

1.78

Insolvency rates:

11.8 per 10,000 population

Millionaire numbers:

165,000

London continues to top the Index with a score of 0.77

The UK capital continues to be a centre of prosperity, with not only the highest earnings and household expenditure in the country, but also the biggest growth in expenditure at 5.9%. London also continues to have the highest GDP per capita of all UK cities and regions, at £43,629.

London’s GDP growth is more modest than that of other regions: 1.6% compared with 3% in the North West and 2.8% in the North East. The city has the nation’s highest house prices (an average of £502,787), but its 3% growth is slower than any other region except Scotland, which grew by just 2%. To put this into perspective, East of England and East and West Midlands, for example, are seeing growth of 7%, 6% and 6% respectively, an ongoing trend from 2016.

London also has the country’s highest business birth-to-death ratio, with 1.78 new businesses created for every business ‘death’. SME turnover, however, has seen a sharp decrease of 22% since last year’s research, in stark contrast to the North West, where SMEs have grown their turnover by 15%. Just two regions – Scotland (23%) and the North East (26%) – have seen bigger decreases than London.

The capital remains home to the largest number of millionaires in the UK, with 165,000, a 6.5% increase and more than a quarter – 26.4% – of the UK’s total millionaire population. However, the city experienced a year-on-year drop of 0.3% in its share of the overall UK millionaire population and saw the third-lowest growth in millionaire numbers compared with other regions. Only the South East (which saw 6.1% growth in millionaire numbers) and Scotland (0% growth) saw lower levels of growth, while the East Midlands saw the greatest growth at 11.1%.

UK Prosperity Map

The Barclays UK Prosperity Map is an in-depth view of the different prosperity drivers across the UK regions. The map compiles different measures gleaned from official data – including GDP, employment, enterprise figures, household expenditure and number of millionaires – to give an overall score for each region.

About this research

The UK Prosperity Map is an annual piece of research compiled by Opinium on behalf of Barclays Wealth & Investments. It ranks UK regions and cities in terms of their affluence. A Prosperity Index score has been calculated by Opinium for each UK city and region. In addition, data provided by Wealth-X calculates UK millionaire numbers. The index uses third party figures on the factors listed below: