Britons to be 'richer than Americans'

Posted on 7 January 2008 by Charcol

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The average income in the UK will surpass that in the United States this year, an economics forecaster predicts.

Oxford Economics (OE) says that the UK gross domestic product (GDP) per person will reach £23,500 this year, compared to the equivalent of £23,250 (approx $45,815) in the US.

The UK will also enjoy higher GDP per capita than Germany (£21,665) and France (£21,700).

The forecaster says that in 1993, per-capita GDP in the UK was 34% lower than in the US. However, strong growth in the last 15 years has helped to improve dramatically the UK's position in the world economy.

"No longer are we the 'sick man of Europe'," said Adrian Cooper, OE managing director.

"Not only have we left Germany and France in our wake, our calculations reveal that UK living standards are now outstripping those of the US."

However, OE adds that the cheaper price of goods in the US means that Americans are likely to feel more wealthy than their UK counterparts.



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