London's Economy Today - Issue 190 - June 2018

The overview

• Trade dispute between the US and other countries ramps up
• Continued hints on a UK interest rate rise as the US raises rates again
• London Foreign Direct Investment (FDI) remains high while employment stands at near historic levels

Economic indicators

• Solid growth in London business activity continued with the Purchasing Managers’ Index (PMI) survey showing Business activity growth at London private firms at 54.7 in May, reaching the highest figure of the year so far. Index readings above 50.0 suggest a month-on-month increase in that variable, while readings below indicate a decrease.
• Growth in new business remains stable in London with the PMI New Business Index at 52.8 in London in May, up slightly from April (52.6).
• House prices expectations in London fell further in May with the RICS index at -27 in May, down from -20 in April.

London’s Economy Today supplement: A summary of the skills evidence base 2018

• This skills evidence base supports the Mayor’s skills strategy, ‘Skills for Londoners’. It covers the demand for and supply of skills, inequalities in skills, employer training, and the training and education system.
• Nationally, spending on adult education has fallen since 2010. This is reflected in lower participation. Between 2012/13 and 2016/17 the number of adult Londoners (age 19+) participating in classroom-based further education fell 41%, although the number of adult apprenticeships increased by 9% in this period.
• The level of employer training in London (and the rest of the UK) has fallen over the past 20 years, and is low compared to the rest of Europe. Employers are also now adjusting to the new apprenticeship levy.

London’s Economy Today data on the Datastore

• The main economic indicators for London are available to download from the Datastore.