Fife’s economic inequality: Above average for productivity, below average for income

Fifers may not have the highest levels of income, but they are among the most productive, new research has revealed.
Watch more of our videos on Shots! 
and live on Freeview channel 276
Visit Shots! now

The Kingdom is 0.6% above average for productivity in the UK, and well ahead of many other regions.

But, when it comes to income, we are 11.2% below the UK average.

Hide Ad
Hide Ad

The findings were published by the Office for National Statistics as it explored economic inequality across the UK.

Fife is below average for income, but above average for productivityFife is below average for income, but above average for productivity
Fife is below average for income, but above average for productivity

Its figures relate to 2018, and show that the areas where people have the highest income are not always those that contribute the most to the economy.

The regional difference takes in the north-south divide, and also underlines the impact the commuter market has on the data, with people earning higher ages working in a city but living in an area where income is lower.

The average household income for Fife and Clackmannanshire in 2018 was £18,751 - this includes wages and income from property and financial assets but does not include living costs such as rent or mortgages.

Hide Ad
Hide Ad

That figure was well below Aberdeen and Perth where households had an average of over £21,000, and the Scottish Borders on £20,243.

Edinburgh gave the highest return at £23,374.

But Fife’s average household income was better than a number of regions, including East Ayrshire (£17,316), Dumfries and Galloway (£18,482), and Angus and Dundee City on £18,103.

Read More
Tim Hortons coffee shop gets go-ahead for second site in Fife

The data also studied productivity - and Fife stood out.

Its productivity was measured at £35.2.

To put that into context, Edinburgh came in at £43.9, Perth and Stirling at £37.8, and Aberdeen at £37.6.

At the other end of the scale, Glasgow was down at £29.8.

The ONS said: “Looking at the relationship between productivity and income in different parts of the UK can tell us about the economic characteristics of that region.

Hide Ad
Hide Ad

Some parts of the country may have higher levels of non-wage incomes that can lead to higher household incomes relative to productivity in those regions.

“We would generally expect household incomes to be higher where productivity is higher. However, it is possible for the two to diverge, such as in the case of the commuter effect.”

Thank you for reading this article on our free-to-read website. We're more reliant on your support than ever as the shift in consumer habits brought about by Coronavirus impacts our advertisers.

Please consider purchasing a subscription to our print newspaper to help fund our trusted, fact-checked journalism.