HomeReportGDP

GDP

Measuring the North East's GDP, the value of goods and services produced in the area. Includes breakdowns by local authority area and change over time with inflation effects removed.

Economy
Download as a PDF
{{element.textContent}}
Page Menu
{{element.textContent}}

Introduction

The Office for National Statistics (ONS) publishes annual estimates of Gross Domestic Product (GDP) for local and regional geographies. These are usually available about 16 months after the end of the calendar year that they cover.

GDP is allocated to the area in which the related economic activity takes place. Because areas vary in the size of their population, a rate based on the number of residents is used to compare their GDPs. This rate should not be used as a proxy for productivity, which uses a denominator based on the workplace population such as the number of workers or hours worked. Variances in employment rates and in hours worked also make GDP per head inappropriate as a productivity measure.

Headline GDP totals and rates in the ONS release are current price measures. However, for rates of change, ONS produce a time series of chained volume measures that removes the effects of inflation. This is described in the release as a time series of real GDP. This is especially useful to reveal patterns of GDP change in periods where inflation has been high or volatile, including recent years.

In some releases, Gross Value Added (GVA) is used instead of GDP. This is true for the annual breakdown by industry and for earlier releases of the sub-national data charted in this report.  The relationship between GDP and GVA is:

GDP = GVA + VAT + other taxes on products - subsidies on products

North East GDP

£58.6 bn

North East GDP 2023

County Durham contributed 23%
Newcastle 23%, Sunderland 15%,
Northumberland 13%, N. Tyneside 11%,
Gateshead 10%, S. Tyneside 5%.

+10.2%

North East GDP growth, 2022 to 2023

44% increase in latest decade.
Real GDP, excluding inflation,
grew by 2.9% in 2023 and
by 15% between 2013 and 2023.

-13%

Impact of COVID in 2020

One year % change in real GDP.
This was the only year of the last
eight when the North East % change
was lower than England's.

2.5%

North East's share of England GDP

3.4%, if London is excluded.
Decreased in the latest decade
from 2.7% and 3.6%, respectively.

Geographic differences

47%

of UK GDP from London and neighbouring regions

(South East and East of England)
20% from the North of England,
3% from the North East ITL1 area.

£28,600

GDP per head in the wider North East

(ITL1 area that includes both the
North East and Tees Valley CA areas).
Lowest rate of 12 UK ITL1 areas,
only 41% of the London rate.
 

£29,100

North East GDP per head

ranked 13th out of 15 among
combined authority (CA) areas,
£18,800 below highest rate
but only £1,800 below median.

£42,500

Newcastle GDP per head

Highest of seven North East LA areas,
next are Sunderland and North Tyneside.
Larger net in-commutes tend to
result in higher GDP per head rates.

 

Comparisons of change

2nd

highest one year % GDP change

among CA areas 2022 to 2023,
+2.9%, excluding inflation effects.
A third of the 15 areas had a
decrease over the year.

+5.3%

North Tyneside one year GDP growth

2022 to 2023, excluding inflation effects,
the largest % increase in North East.
Four of the seven LA areas had
annual growth of 2.5% or more.

11th

highest ten year % GDP change

among CA areas 2013 to 2023.
+15%, excluding inflation effects,
More than half of the 15 areas
had growth of about 15% to 18%.

+49%

North Tyneside ten year GDP growth

2013 to 2023, excluding inflation effects.
Largest % increase in North East,
Newcastle also had a ten year
% increase well above England's.

Further information

GVA by industry

A hub page with statistics about how different sectors contribute to the value of the goods and services produced in North East.

View the statistics
Productivity (GVA per hour worked)

A hub page including estimates of the value of goods and services produced, expressed as a per hour worked rate.

View the statistics
Productivity by industry

Data on how the GVA per hour in the North East varies by sector.

View the statistics
Economic growth hub page

The evidence hub's economy landing page. With links to data reports about economic output, productivity and variations by sector and location.

Find more economy statistics
ONS annual local GDP bulletins

The ONS home page for the annual statistical bulletin that includes local and regional GDP estimates.

Explore the ONS data