Gross Domestic Product

Gross domestic product (GDP) is equivalent to gross value added (GVA), plus Value Added Tax (VAT), plus other taxes on products, less subsidies on products. GDP measures the value of goods and services produced in the UK. It estimates the size of and growth in the economy. Estimates are available for sub-regional and local authority areas.   

The latest 2022 estimates are provisional. GDP and component GVA data for 2021 and prior years are revised. Please note GDP and GVA data are often subject to revision in future years as more data becomes available, sometimes across numerous years within the series.

While GDP per head can be a useful way of comparing geographic areas of different sizes, comparisons can be affected by commuting flows into or out of an area. Therefore, GDP per head figures should be used with caution. For a direct measure of economic performance, it is advisable to refer to the ONS Regional and sub-regional labour productivity, UK: 2022 statistical bulletin and related data (see the links at the bottom of this web page).  

The analysis below focusses on GDP data for the Lancashire-14 ITL2 sub-region, the six smaller Lancashire ITL3 areas and the 14 Lancashire local authority areas.

International Territorial Level (ITL) geographies

As of 1 January 2021, the internationally comparable regional geography for the UK is the International Territorial Levels (ITLs) geography. These are comprised of ITL1 regions, ITL2 sub-regions and smaller ITL3 areas. This has replaced the Nomenclature of territorial units for statistics (NUTS) geographies for the UK that were operational when the UK was a member of the European Union. These were comprised of NUTS-1 regions, NUTS-2 sub-regions and smaller NUTS-3 areas. The ITLs have been established initially as a mirror to the pre-existing NUTS system that is reviewed roughly every three years. This will enable statistical comparison with EU countries and regions to be maintained. The next review was scheduled to be in 2024, however, there has been a delay, owing to proposed changes to the ITL2 and ITL3 boundaries for Scotland. It is anticipated that the new set of ITL boundaries will be delivered later in 2024 for adoption from January 2025.

Further information about GDP

In December 2019, the Office for National Statistics (ONS) published the first release of annual estimates of gross domestic product (GDP) for subnational areas of the United Kingdom with data from 1998 to 2018. This and subsequent datasets now include estimates for the Lancashire-14 International Territorial Level (ITL) 2 sub-region, the six smaller Lancashire ITL3 areas and the 14 Lancashire local authority areas.

The GDP estimates are based on the balanced measure of regional gross value added (GVA (B)), which combines estimates of both the income and production approaches of GVA measurement to create a single best estimate of GVA (GVA (B)). 

An industrial breakdown of regional GDP is not available. However, the balanced gross value added estimates (GVA(B)) can be used to understand industry movements. See the data files at the bottom of our GVA web page

Caution interpreting GDP and GVA figures for smaller geographies

At the local authority level and smaller ITL3 areas some GDP and GVA data can be rather volatile owing to the small nature of the areas. Where erratic movements are evident in the time series you should use caution interpreting the data.

GDP per head and GVA per head figures can suffer from distortions arising from commuting patterns and/or the composition of resident populations. This is perhaps more pertinent at the smaller ITL3 and individual local authority levels. For example, the 2011 Census showed that Preston gained 23,000 people in terms of net commuters, whilst Chorley saw a net outflow of 12,000 commuters. Caution should therefore be applied when interpreting the data. The Office for National Statistics (ONS) is considering whether to update the 2011 Travel To Work Areas using Census 2021 as the Census 2021 took place during the coronavirus (COVID-19) pandemic and a national lockdown.

Summary

Provisional estimates of GDP totals for 2022

In 2022, the Lancashire-14 ITL2 sub-region had a provisional gross domestic product (GDP) total of £45.148 billion, which was the third largest of the five ITL2 sub-regions in the North West region, behind Greater Manchester (£99.714 billion) and Merseyside (£45,413 billion).

GDP for the Lancashire-14 ITL2 sub-region was ranked in 25th position out of 41 ITL2 areas in the UK (including Northern Ireland). The GDP total for the Lancashire-12 area was £37.142 billion.

ITL3 areas

The Mid Lancashire ITL3 area (£16.193 billion) had the fourth largest provisional GDP total in the North West region in 2022 (out of 20 North West ITL3 areas) and the 49th greatest in the UK (out of the 179 UK ITL3 areas). This placed the area's GDP total in the top 28% of the ITL3 areas in the UK. The Manchester ITL3 area (£33.648 billion) had the greatest provisional ITL3 GDP total in the North West (ranked 9th in the UK).

Local authority areas

At the local authority level, with the exception of Preston and South Ribble, the GDP totals for the remaining 12 local authority areas in the Lancashire-14 ITL2 sub-region fell in the lower half of the UK rankings (out of 361 local authority areas).

Preston (£5.583 billion) and South Ribble (£5.162 billion) had the greatest provisional workplace-based GDP totals in both the Lancashire-12 area and the Lancashire-14 ITL2 sub-region in 2022, ranked in 150th and 165th place, respectively, or in the top 42% and 46% of the UK local authority rankings.

Within the North West, the GDP totals for Preston and South Ribble were the 15th and 18th greatest in the region (out of 35 local authority areas). Manchester (£33.648 billion) had the largest local authority GDP total in the region and was ranked 7th in the UK.

Provisional yearly growth/decline in 'real' (adjusted for inflation) gross domestic product totals, 2021 to 2022

Between 2021 and 2022, the GDP total for the Lancashire-14 ITL2 sub-region was estimated to have increased by 3.8% in 'real' terms (adjusted for inflation). This was lower than the 'real' growth for the UK (+4.3%) and the North West (+4.7%).

Within the region, Greater Manchester (5.7%) showed the highest provisional 'real' growth at the ITL2 level, followed by Cheshire (4.9%), Merseyside (4.4%), Lancashire (3.8%) and Cumbria (2.2%).

ITL3 areas

At the ITL3 level, within the Lancashire-14 ITL2 sub-region, GDP for Blackpool (+10.8%) was estimated to have increased by the greatest percentage in 'real' terms (adjusted for inflation) between 2021 and 2022, followed by the Blackburn with Darwen (+7.0%), Lancaster and Wyre (+5.4%) and Chorley and West Lancashire (+4.3%). 'Real' growth for the Mid Lancashire ITL3 area (+2.6%) and the East Lancashire ITL3 area (+0.4%) was lower than the UK growth (+4.3%).

Local authority areas

Seven of the local authorities within the Lancashire-14 ITL2 sub-region saw 'real' growth (adjusted for inflation) in their GDP totals that were greater than the 'real' growth in the UK of 4.3%. These seven were Blackpool (+10.8%), Blackburn with Darwen (+7.0%), South Ribble (+5.7%), Wyre (+5.7%), West Lancashire (+5.3%), Lancaster (+5.1%) and Preston (+5.1%). 

The five local authorities of Rossendale (+3.3%), Chorley (+3.0%), Burnley (+2.2%), Fylde (+1.6%) and Hyndburn (+1.1%) saw 'real' growth in their GDP totals that were lower than the UK 'real' growth of 4.3%.

The two Lancashire-14 ITL2 local authority areas of Ribble Valley (-7.6%) and Pendle (-3.9%) saw provisional 'real' reductions (adjusted for inflation) in their GDP totals between 2021 and 2022.

Provisional estimates of GDP per head for 2022

In 2022, the provisional GDP per head figure of £29,119 for the Lancashire-14 ITL2 area was 21.0% lower than the UK less Extra-Regio figure of £36,844. The Lancashire figure was ranked 25th in the UK (out of 41 ITL2 areas, including Northern Ireland) and fourth in the North West region behind Cheshire (£42,699), Greater Manchester (£34,246) and Cumbria (£29,992). It was however above the GDP per head figure for Merseyside (£28,906).

ITL3 areas

Within the Lancashire-14 ITL2 sub-region, only the Mid Lancashire ITL3 area (£39,508) had a provisional GDP per head figure above that of the UK less Extra-Regio figure of £36,844 in 2022, by 7.2%. The Mid Lancashire NUTS-3 area is comprised of Fylde, Preston, South Ribble and Ribble Valley local authorities. The area had the sixth highest GDP per head figure in the North West in 2022 and was ranked in 35th place out of the 174 ITL3 areas with GDP per head figures in the UK.

In contrast, the provisional 2022 GDP per head figure for the East Lancashire ITL3 area (£23,187) was 37.1% lower than the UK figure. It was the lowest in the Lancashire-14 ITL2 sub-region, the fourth lowest figure in the region and 21st lowest in the UK (or roughly an eighth from the bottom of the UK ITL3 rankings).

The provisional 2022 GDP per head figures for the two Lancashire ITL3 areas of Lancaster and Wyre (£24,109) and Blackpool (£25,725) fell in the bottom sixth and the bottom quarter of the UK ITL3 rankings, respectively. The figures were 34.6% and 30.2% below the UK GDP per head figure (£36,844), and were the sixth and seventh lowest amounts in the region, respectively (out of 20 ITL3 areas in the North West).

The provisional GDP per head figures for the two Lancashire ITL3 areas of Blackburn with Darwen (£28,019) and Chorley and West Lancashire (£28,046) were clustered close together, falling about 40% from the bottom of the UK ITL3 rankings. The figures were 24.0% and 23.9% below the UK GDP per head figure (£36,844), and were the tenth and eleventh lowest amounts in the region, respectively (out of 20 North West ITL3 areas).

Local authority areas

At the local authority level, in 2022, South Ribble (£46,023) had the highest provisional GDP per head figure in the Lancashire-14 ITL2 area and was the fourth highest in the North West region, behind Manchester (£59,136), Trafford (£49,997) and Warrington (£48,417).

GDP per head for South Ribble was 24.9% above the UK figure of £36,844 and the 50th highest in the UK, falling in the top 14% of the 361 local authority rankings.

Fylde (£38,158) was only the second local authority in the area to have a GDP per head figure above the UK amount (£36,844) by 3.6%. The figure was ranked in 87th position in the UK, or within the top quarter of the rankings.

Rossendale (£20,094) had the lowest provisional GDP per head figure in the Lancashire-14 ITL2 sub-region in 2022, the second lowest figure in the North West and was ranked 20th lowest in the UK. The GDP per head figure for Wyre (£20,801) was the second lowest in the Lancashire-14 ITL2 sub-region, the fourth lowest in the North West region and was ranked 34th lowest in the UK.

The Rossendale and Wyre GDP per head figures were 45.5% and 43.5% below the UK figure (£36,844), respectively. Both of these figures fell in the lowest 10% of the UK GDP per head local authority rankings.

Provisional yearly growth/decline in 'real' (adjusted for inflation) GDP per head figures, 2021 to 2022

The provisional 'real' growth (adjusted for inflation) of the GDP per head figure for the Lancashire-14 ITL2 sub-region between 2021 and 2022 at +2.6% was lower than that recorded for the UK (less Extra-Regio) of +3.2%. 'Real' growth in GDP per head for the North West region was provisionally estimated at +3.5%, slightly above the national figure.

The Greater Manchester (+4.1%) Cheshire (+3.7%), and Merseyside (+3.2%) ITL2 sub-regions had the greatest provisional 'real' growth rates in GDP per head in the region between 2021 and 2022 - and were higher than the increase in Lancashire (+2.6%). The Cumbria ITL2 sub-region saw the lowest provisional growth to its GDP per head figure in the North West over the year of +1.7%. 

ITL3 areas

At the ITL3 level, within the Lancashire-14 ITL2 sub-region, 'real' GDP per head was estimated to have increased by the greatest percentage in Blackpool (+10.3%) between 2021 and 2022, followed by Blackburn with Darwen (+6.5%) and the Lancaster and Wyre ITL3 area (+3.5%). These three areas were above the UK (less Extra-Regio) 'real' growth rate of +3.2%. For the Chorley and West Lancashire ITL3 area (+3.0%) and the Mid Lancashire ITL3 area (+0.8%),'real' growth was below the UK increase. In contrast, the East Lancashire ITL3 area showed a 'real' decline to its GDP per head estimate of -0.2% over the year.

Local authority areas

Six local authority areas within the Lancashire-14 ITL2 sub-region saw their 'real' GDP per head figures (adjusted for inflation) increase provisionally by more than the 'real' UK growth of 3.2% between 2021 and 2022. These six local authorities were Blackpool (+10.3%), Blackburn with Darwen (+6.5%), South Ribble (+4.7%), Lancaster (+3.6%), Wyre (+3.5%) and West Lancashire (+3.3%). 

Five local authority areas within the Lancashire-14 ITL2 sub-region saw their 'real' GDP per head figures (adjusted for inflation) increase provisionally by less than the 'real' UK growth of 3.2% between 2021 and 2022. These five local authorities were Rossendale (+3.0%), Preston (+2.5%), Chorley (+2.4%), Burnley (+1.3%) and Fylde (+0.1%).

Hyndburn (0.0%) saw no 'real' provisional growth between between 2021 and 2022. 

The two remaining local authorities within the Lancashire-14 ITL2 sub-region saw their 'real' GDP per head figures decline provisionally between 2021 and 2022. Ribble Valley (-9.4%) saw the greatest fall over the year, followed by Pendle (-4.2%). 

Analysis and data tables

Provisional estimates of GDP totals for 2022

In 2022, the Lancashire-14 ITL2 sub-region had a provisional gross domestic product (GDP) total of £45.148 billion, which was the third largest in the North West region, behind Greater Manchester (£99.714 billion) and Merseyside (£45,413 billion). The Lancashire-14 ITL2 total was ahead of the sub-regional figures for Cheshire (£41.837 billion) and Cumbria (£15,087 billion). The ITL2 sub-regional total for Cumbria was the smallest in the region.

GDP for the Lancashire-14 ITL2 sub-region was ranked in 25th position out of 41 ITL2 areas in the UK (including Northern Ireland). The GDP total for the Lancashire-12 area was £37.142 billion.

The Mid Lancashire ITL3 area (£16.193 billion) had the fourth largest provisional GDP total in the North West region in 2022 (out of 20 North West ITL3 areas) and the 49th greatest in the UK (out of the 179 UK ITL3 areas). This placed the area's GDP total in the top 28% of the ITL3 areas in the UK. The Manchester ITL3 area (£33.648 billion) had the greatest provisional ITL3 GDP total in the North West (ranked 9th in the UK). The Liverpool ITL3 area (£18.604 billion) had the second largest provisional GDP total in the North West (ranked 37th in the UK) and the Cheshire ITL3 area had the third largest provisional GDP total in the North West (ranked 44th in the UK).

The two Lancashire ITL3 areas of Blackpool (£3.642 billion) and Blackburn with Darwen (£4.364 billion) had the smallest GDP totals in the North West region, whilst the totals for the Lancaster and Wyre ITL3 area (£6.250 billion) and the Chorley and West Lancashire ITL3 area (£6.675 billion) were the fifth and sixth lowest in the region (just above Sefton and West Cumbria). These six ITL3 areas were ranked in the lowest quarter of the UK ITL3 areas (in terms of GDP totals). Blackpool ITL3 area had the 18th smallest GDP total in the UK in 2022, whilst the Blackburn with Darwen ITL3 area total had the 24th smallest.

The two Lancashire ITL3 areas of Blackpool (£3.642 billion) and Blackburn with Darwen (£4.364 billion) had the smallest GDP totals in the North West region, whilst the totals for the Lancaster and Wyre ITL3 area (£6.250 billion) and the Chorley and West Lancashire ITL3 area (£6.675 billion) were the fifth and sixth lowest in the region (just above Sefton and West Cumbria). These six ITL3 areas were ranked in the lowest quarter of the UK ITL3 areas (in terms of GDP totals). Blackpool ITL3 area had the 18th smallest GDP total in the UK in 2022, whilst the Blackburn with Darwen ITL3 area total had the 24th smallest.

The East Lancashire ITL3 area (£8.024 billion) had the eighth smallest GDP total in the North West and the 65th smallest in the UK in 2022. This placed the area in the lowest 37% of the UK ITL3 rankings for GDP totals, just above the lowest third.   

Table 1: Estimates of provisional 2022 workplace-based (1) gross domestic product (GDP) totals and component elements (£ billions) at current market prices (unadjusted for inflation) for the UK, the North West ITL1 region, North West ITL2 sub-regions, the Lancashire ITL3 areas and the Lancashire-12 area 

Area

2022 Gross Value Added (Balanced) at current basic prices

(£ bn)

2022 Value Added Tax (VAT) on products

(£ bn)

 

2022 Other taxes on products

(£ bn)

 

Less 2022 subsidies on products

(£ bn)

2022 Gross Domestic Product (GDP) total (2)

(£ bn)

Lancaster and Wyre ITL3 area 5,258 0.688 0.466

0.161

6,250
Mid Lancashire ITL3 area (3) 14.690 1.087 0.542 0.127 16.193
East Lancashire ITL3 area (4) 6.823 0.918 0.351 0.068 8.024
Chorley and West Lancashire ITL3 area 5.806 0.631 0.302 0.065 6.675
Lancashire-12 area 32.577 3.324 1.661 0.421 37.142
Blackburn with Darwen ITL3 area 3.837 0.413 0.148 0.034 4.364
Blackpool ITL3 area 3.187 0.376 0.112 0.032 3.642
Lancashire-14 ITL2 sub-region 39.601 4.114 1.921 0.487 45.148
Cumbria ITL2 sub-region 13.263 1.351 0.738 0.266 15.087
Greater Manchester ITL2 sub-region 89.516 7.220 3.715 0.736 99.714
Merseyside ITL2 sub-region 39.589 4.385 1.835 0.396 45.413
Cheshire ITL2 sub-region

37.739

2.851 1.629

0.382

41.837
North West ITL1 region 219.707 19.921 9.837 2.266 247.199
United Kingdom (less Extra-Regio) (5)

2,230.427

183.614 100.716 24.207 2,490.550
United Kingdom Extra-Regio (5) 15.620

0.000

0.000 0.000 15.620
United Kingdom total GDP (including Extra-Regio) (5) 2,246.047 183.614 100.716 24.207 2,506.170

Notes: (1) Estimates of workplace based GDP and component elements allocate values to the region or area in which the economic activity takes place; (2) Component elements may not sum to GDP totals owing to rounding; (3) The Mid Lancashire NUTS-3 area is comprised of Fylde, Preston, South Ribble and Ribble Valley local authorities. (4) The East Lancashire NUTS-3 area is made up of the four local authorities of Burnley, Hyndburn, Pendle and Rossendale; (5) The GDP for Extra-Regio comprises compensation of employees and gross operating surplus which cannot be assigned to regions, such as oil and gas production on the continental shelf.

Source: Office for National Statistics - Statistical bulletin - Regional economic activity by gross domestic product, UK: 1998 to 2022, published 24 April 2024.

Data: Regional gross domestic product: all ITL regions, 1998 to 2022 edition, published 24 April 2024.


Local authority analysis of provisional GDP totals in 2022

At the local authority level, in 2022, with the exception of Preston and South Ribble, the GDP totals for the remaining 12 local authority areas in the Lancashire-14 ITL2 sub-region fell in the lower half of the UK rankings (out of 361 local authority areas).

Preston (£5.583 billion) and South Ribble (£5.162 billion) had the greatest provisional workplace-based GDP totals in both the Lancashire-12 area and the Lancashire-14 ITL2 sub-region in 2022, ranked in 150th and 165th place, respectively, or in the top 42% and 46% of the UK local authority rankings.

Within the North West, the GDP totals for Preston and South Ribble were the 15th and 18th greatest in the region (out of 35 local authority areas), falling in the top half of the North West GDP total rankings. Manchester (£33.648 billion), Liverpool (£18,604 billion), Cheshire East (£16.886 billion), and Cheshire West and Chester (£14.706 billion) had the largest local authority GDP totals in the region and were ranked in the 7th, 15th, 18th and 28th highest positions in the UK (or in the top eight percent of the UK rankings). The City of London (£99,277 billion) had the largest provisional GDP total in the UK in 2022, followed by Westminster (£92.008 billion), Tower Hamlets (£38.024 billion), Camden (£37.966 billion), Birmingham ((£35.367 billion), Leeds (34.716 billion) and Manchester (£33.648 billion).

Blackburn with Darwen (£4.364 billion) had the third largest provisional GDP total in the Lancashire-14 ITL2 sub-region in 2022 but had the 14th smallest total in the region (out of 35 local authority areas) and fell in the lowest 46% of the UK GDP rankings. Lancaster (£3.862 billion) had the fourth largest provisional GDP total in the Lancashire-14 ITL2 sub-region, but had the 12th smallest total in the North West, and was placed in the lowest 38% of the UK GDP total rankings.

The remaining ten local authority areas in the Lancashire-14 ITL2 sub-region had the lowest GDP totals in the North West region in 2022, ranging from £3.680 billion in West Lancashire, down to £1.430 billion in Rossendale. The GDP total for West Lancashire was the tenth smallest in the North West region and the 128th lowest in the UK (out of 361 local authority areas), falling in the lowest 36% of the UK total GDP rankings. The GDP total for Rossendale was the smallest in the North West region and the 12th lowest in the UK, falling in the lowest 4% of the UK GDP rankings.

Within the UK, the Isles of Scilly (£0.086 billion), off Cornwall, Na H-Eileanan Siar (£0.674 billion) in Scotland, the Orkney Islands (£0.675 billion) and the Shetland Islands (£0.854 billion), also in Scotland and Oadby and Wigston (£1.055 billion) in the East Midlands had the smallest provisional GDP totals in the UK in 2022.

Note: Please be aware that owing to the small areas analysed at the local authority level, some of the figures can be rather volatile. Where erratic movements are evident in the time series, caution should be taken when interpreting the data.

Table 2: Estimates of provisional 2022 workplace-based (1) gross domestic product (GDP) totals and component elements (£ billions) at current market prices (unadjusted for inflation) for Lancashire local authority areas, the Lancashire-12 area, the Lancashire-14 ITL2 sub-region, the North West ITL1 region, and the UK

Area

2022 Gross Value Added (Balanced) at current basic prices

(£ bn)

2022   Value   Added Tax (VAT) on products

(£ bn)

 

2022    Other taxes on products

(£ bn)

 

   Less    2022 subsidies on products

(£ bn)

  2022  Gross Domestic Product (GDP)   total (2)

(£ bn)

Burnley 2.281 0.254 0.095 0.017 2.613
Chorley 2.545 0.315 0.161 0.026 2.995
Fylde 2.860 0.220 0.114 0.027 3.167
Hyndburn 1.577 0.221 0.091 0.020 1.869
Lancaster 3.278 0.383 0.322 0.121 3.862
Pendle 1.781 0.255 0.093 0.017 2.113
Preston 5.039 0.402 0.185 0.043 5.583
Ribble Valley 2.062 0.167 0.072 0.022 1.430
Rossendale 1.184 0.189 0.072 0.014 1.272
South Ribble 4.730 0.298 1.170      0.035 5.162
West Lancashire 3.261 0.317 0.141 0.039 3.680
Wyre 1.980 0.305 0.144 0.040 2,388
Lancashire-12 area 32.577  3.324  1.661  0.421  37.142 
Blackburn with Darwen 3.837 0.413 0.148 0.034 4.360
Blackpool 3.187  0.376 0.112  0.032 3.342
Lancashire-14 ITL2 sub-region 39.601  4.114  1.921   0.487 45.148
North West ITL1 region 219.707  19.921   9.837 2.266  247.199
United Kingdom (less Extra-Regio) (3) 2,230.427 183.614 100.716 24.207

2,490.550

United Kingdom Extra-Regio (3) 15.620 0.000 0.000 0.000 15.620
United Kingdom total GDP (including Extra-Regio) (3) 1,246.047 183.614 100.716 24.207

2,506.170

Notes: (1) Estimates of workplace based GDP and component elements allocate values to the region or area in which the economic activity takes place; (2) Component elements may not sum to GDP totals owing to rounding; (3) The GDP for Extra-Regio comprises compensation of employees and gross operating surplus which cannot be assigned to regions, such as oil and gas production on the continental shelf.

SourceOffice for National Statistics - Statistical bulletin - Regional economic activity by gross domestic product, UK: 1998 to 2022, published 24 April 2024.

Data: Regional gross domestic product: local authorities, 1998 to 2022 edition, and Regional gross domestic product: all ITL regions, 1998 to 2022 edition, both published 24 April 2024.


Provisional yearly growth/decline in 'real' (adjusted for inflation) gross domestic product totals, 2021 to 2022

The GDP dataset contains estimates of 'real' (chained volume) growth/decline for the GDP totals (ie adjusted for inflation) at the ITL1 regional level, the ITL2 sub-regional level, the smaller ITL3 level and at the local authority level.

Between 2021 and 2022, the GDP total for the UK (including the Extra-Regio component), showed provisional 'real' growth (adjusted for inflation) of 4.3%. In the North West, provisional 'real' growth was estimated at a slighter greater 4.7%.

The GDP total for the Lancashire-14 ITL2 sub-region was estimated to have increased provisionally by 3.8% in 'real' terms between 2021 and 2022. This was lower than the 'real' growth for the UK and North West.

Greater Manchester (5.7%) showed the highest provisional 'real' growth in the region at the ITL2 level, followed by Cheshire (4.9%), Merseyside (4.4%), Lancashire (3.8%) and Cumbria (2.2%).

At the ITL3 level, within the Lancashire-14 ITL2 sub-region, GDP for the Blackpool ITL3 area (+10.8%) was estimated to have increased provisionally by the greatest percentage in 'real' terms (adjusted for inflation) between 2021 and 2022, followed by the Blackburn with Darwen ITL3 area (+7.0%), Lancaster and Wyre (+5.4%) and Chorley and West Lancashire (+4.3%). 'Real' growth for these four areas was greater than or equal to UK growth (+4.3%), whereas 'real' growth for the Mid Lancashire ITL3 area (+2.6%) and the East Lancashire ITL3 area (+0.4%) was lower than the UK growth.

Table 3: Workplace-based (1) gross domestic product (GDP) totals (£ billions) at current market prices 2017 (revised) and 2018 (provisional), plus nominal change (unadjusted for inflation) and 'real' change (adjusted for inflation) for the UK, North West, ITL2 areas and Lancashire ITL3 areas. Both change figures are provisional.

Area

 2021 GDP (3)

(£ bn)

2022 GDP (3)

(£ bn)

Nominal change in GDP (4), 2021 (2) to 2022 (3)

(£ bn)

Nominal change in GDP (4), 2021 (2) to 2022 (3)

(%)

'Real' change in GDP (5), 2021 to 2022 (%)

Lancaster and Wyre ITL3 area 5.631 6.250 0.619 11.0 5.4
Mid Lancashire ITL3 area (6) 14.925 16.193 1.268 8.5 2.6
East Lancashire ITL3 area (7) 7.538 8.024 0.486 6.4 0.4
Chorley and West Lancashire ITL3 area 6.078  6.675  0.597 9.8  4.3 
Lancashire-12 area 34.172  37.142 2.970  8.7   n/a (8)
Blackburn with Darwen ITL3 area 3.917 4.364 0.477 11.4 7.0
Blackpool ITL3 area 3.216 3.642 0.426 13.2  10.8
Lancashire-14 ITL2 sub-region 41.306  45.148 3.842  9.3 3.8
Cumbria ITL2 sub-region 13.937  15.087 1.150 8.3 2.2
Greater Manchester ITL2 sub-region 89.954 99.714 9.760 10.8 5.7
Merseyside ITL2 sub-region 41.911  45.413 3.502 8.4 4.4
Cheshire ITL2 sub-region 37.832 41.837 4.005 10.6 4.9
North West ITL1 region 224.940 247.199  22.259 9.9 4.7
United Kingdom (less Extra-Regio) (9) 2,271.974 2,490.550 218.576 9.6 4.0
United Kingdom Extra-Regio (9)

12.105

15.620 3.515 29.0 -3.1
United Kingdom total GDP (including Extra-Regio) (9) 2,284.079 2,506.170 222.091 9.7 4.3
Notes: (1) Estimates of workplace based GDP allocate values to the region or area in which the economic activity takes place; (2) Revised nominal figures (current market prices); (3) Provisional nominal figures (current market prices); (4) Nominal change in figures (current market prices), unadjusted for inflation; (5) 'Real' change in GDP figures, adjusted for inflation using 2016 money values and chained volume measures for the UK, NUTS-1, NUTS-2 and NUTS-3 areas. (6) The Mid Lancashire NUTS-3 area is comprised of Fylde, Preston, South Ribble and Ribble Valley local authorities. (7) The East Lancashire NUTS-3 area is made up of the four local authorities of Burnley, Hyndburn, Pendle and Rossendale; (8) Estimated by Business Intelligence at Lancashire County Council from GDP chained volume measures (CVM) using 2016 money value; (9) The GDP for Extra-Regio comprises compensation of employees and gross operating surplus which cannot be assigned to regions, such as oil and gas production on the continental shelf.

SourceOffice for National Statistics - Statistical bulletin - Regional economic activity by gross domestic product, UK: 1998 to 2022, published 24 April 2024.

Data: Regional gross domestic product: all ITL regions, 1998 to 2022 edition, published 24 April 2024.

Seven of the local authorities within the Lancashire-14 ITL2 sub-region saw 'real' growth (adjusted for inflation) in their GDP totals that were greater than the 'real' growth in the UK of 4.3%. These seven were Blackpool (+10.8%), Blackburn with Darwen (+7.0%), South Ribble (+5.7%), Wyre (+5.7%), West Lancashire (+5.3%), Lancaster (+5.1%) and Preston (+5.1%). 

Five of the local authorities within the Lancashire-14 ITL2 sub-region saw 'real' growth (adjusted for inflation) in their GDP totals that were lower than the 'real' growth in the UK of 4.3%. These five were Rossendale (+3.3%), Chorley (+3.0%), Burnley (+2.2%), Fylde (+1.6%) and Hyndburn (+1.1%). 

The two Lancashire-14 ITL2 local authority areas of Ribble Valley (-7.6%) and Pendle (-3.9%) saw provisional 'real' reductions (adjusted for inflation) in their GDP totals between 2021 and 2022.

Table 4: Workplace-based (1) gross domestic product (GDP) totals (£ billions), 2021 (revised) and 2022 (provisional), plus nominal change (unadjusted for inflation) and 'real' change (adjusted for inflation) for local authority areas in the Lancashire-14 ITL2 area. Both change figures are provisional.

Area

 2021 GDP (2)

(£ bn)

2022 GDP (3)

(£ bn)

Nominal change in GDP (4), 2021 (2) to 2022 (3)

(£ bn)

Nominal change in GDP (4), 2021 (2) to 2022 (3)

(%)

'Real' change in GDP (5), 2021 to 2022 (%)

Burnley 2.427 2.613 0.186 7.7 2.2
Chorley 2.770 2.995 0.225 8.1 3.0
Fylde 2.955 3.167 0.212 7.2 1.6
Hyndburn 1.752  1.869 0.117 6.7 1.1
Lancaster 3.501 3.862 0.361 10.3 5.1
Pendle 2.056 2.113 0.057 2.8 -3.9
Preston 5.101 5.583 0.482 9.4 5.1
Ribble Valley 2.282 2.280 -0.002 -0.1 -7.6
Rossendale 1.303 1.430 0.127 9.7 3.3
South Ribble  4.587 5.162  0.575   12.5 5.7
West Lancashire 3.308 3.680   0.372 11.2  5.3
Wyre 2.130  2.388  0.258  12.1  5.7
Lancashire-12 area 34.172  37.142  2.970  8.7  n/a (6) 
Blackburn with Darwen 3.917  4.364  0.447  11.4  7.0 
Blackpool 3.216  3.642  0.426  13.2  10.8 
Lancashire-14 ITL2 sub-region 41.306   45.148 3.842  9.3  3.8 
United Kingdom (less Extra-Regio) (7) 2,271.974  2,490.550  218.576  9.6  4.0 
United Kingdom Extra-Regio (7) 12.105  15.620  3.515  29.0 -3.1 
United Kingdom total GDP (including Extra-Regio) (7) 2,284.079 2,506.170 222.091 9.7 4.3
Notes: (1) Estimates of workplace based GDP allocate values to the region or area in which the economic activity takes place; (2) Revised nominal figures at current market prices (unadjusted for inflation); (3) Provisional nominal figures at current market prices (unadjusted for inflation); (4) Nominal change in GDP at current market prices (unadjusted for inflation); (5) 'Real' change in GDP (adjusted for inflation using chained volume measures (CVM) in 2019 money value). (6) 'Real' change in GDP (adjusted for inflation) is not available for the Lancashire-12 area; (7) The GDP for Extra-Regio comprises compensation of employees and gross operating surplus which cannot be assigned to regions, such as oil and gas production on the continental shelf.

SourceOffice for National Statistics - Statistical bulletin - Regional economic activity by gross domestic product, UK: 1998 to 2022, published 24 April 2024.

Data files: Regional gross domestic product: local authorities, 1998 to 2022 edition, and Regional gross domestic product: all ITL regions, 1998 to 2022 edition, both published 24 April 2024.

Provisional estimates of GDP per head in 2022

In 2022, the provisional GDP per head figure of £29,119 for the Lancashire-14 ITL2 area was 21.0% lower than the UK less Extra-Regio figure of £36,844. The Lancashire figure was ranked 25th in the UK (out of 41 ITL2 areas, including Northern Ireland) and fourth in the North West region behind Cheshire (£42,699), Greater Manchester (£34,246) and Cumbria (£29,992). It was however above the GDP per head figure for Merseyside (£28,906).

Note: Extra-Regio GVA comprises compensation of employees and gross operating surplus that cannot be assigned to regions, such as oil and gas production on the continental shelf.

Locally, only the Mid Lancashire ITL3 area (£39,508) had a provisional GDP per head figure above the UK less Extra-Regio figure of £36,844 in 2022, by 7.2%. The Mid Lancashire ITL3 area is comprised of Fylde, Preston, South Ribble and Ribble Valley local authorities. The area had the sixth highest GDP per head figure in the North West in 2022 and was ranked in 35th place out of the 174 ITL3 areas with GDP per head figures in the UK. Please note that five ITL3 areas in Scotland are not yet available. This is owing to differences in the timing of census updates and some population estimates for ITL2 and ITL3 areas within Scotland in 2022 not yet being available.

In contrast, the provisional GDP per head figure for the East Lancashire ITL3 area (£23,187) in 2022 was 37.1% lower than the UK figure. It was the lowest in the Lancashire-14 ITL2 sub-region, the fourth lowest figure in the region and 21st lowest in the UK (or roughly an eighth from the bottom of the UK ITL3 rankings).

Ards and North Down (£17,635), in Northern Ireland; Redbridge and Waltham Forest (£20,572), in London; Walsall (£20,665), in the West Midlands; and Torbay (£20,669), in the South West of England, had the lowest provisional amounts in 2022 of the 174 ITL3 areas in the UK with GDP per head figures.

Within the North West region, the three ITL3 areas of Sefton (£21,264), Greater Manchester North East (£21,750) and Wirral (£22,340) had the lowest GDP per head figures. These were the 6th, 10th and 13th lowest ITL3 amounts in the UK.    

The provisional GDP per head figures for the two Lancashire ITL3 areas of Lancaster and Wyre (£24,109) and Blackpool (£25,725) fell in the bottom sixth (17%) and bottom quarter (25%) of the UK ITL3 rankings, respectively. The figures were 34.6% and 30.2% below the UK GDP per head figure (£36,844), and were the sixth and seventh lowest amounts in the region, respectively (out of 20 ITL3 areas in the North West).

The provisional GDP per head figures for the two Lancashire ITL3 areas of Blackburn with Darwen (£28,019) and Chorley and West Lancashire (£28,046) were clustered close together, falling about 40% from the bottom of the UK ITL3 rankings. The figures were 24.0% and 23.9% below the UK GDP per head figure (£36,844), and were the tenth and eleventh lowest amounts in the region, respectively (out of 20 North West ITL3 areas).

Table 5: Workplace based gross domestic product (GDP) per head (1) at current market prices for 2021 (revised) and 2022 (provisional), 2022 GDP per head indices, and nominal change (unadjusted for inflation) and real change (adjusted for inflation) from 2021 to 2022 for the Lancashire ITL3 areas, North West ITL2 sub-regions, the North West ITL1 region and the UK (less Extra-Regio). Both change figures are provisional. 

Area

 2021 GDP per head (2)

(£)

2022 GDP per head (3)

(£)

2022 GDP per head indices (4) (UK less Extra-Regio(5) = 100)

Nominal change in GDP per head (6), 2021 (2) to 2022 (3)

(£)

Nominal change in GDP per head (6), 2021 (2) to 2022 (3)

(%)

'Real' change in GDP per head (7), 2021(2) to 2022(3)     

(%)

Lancaster and Wyre ITL3 area 22,099 24,109 65.4 2,010 9.1 3.5
Mid Lancashire ITL3 area 37,071 39,508 107.2 2,437 6 0.8
East Lancashire ITL3 area 21,925 23,187 62.9 1,262 5.8 -0.2
Chorley and West Lancashire ITL3 area 25,864 28,046 76.1 2,182 8.4 3.0
Blackburn with Darwen ITL3 area 25,280 28,019 76.0 2,739 10.8 6.5
Blackpool ITL3 area 22,815 25,725 68.8 2,910 12.8 10.3
Lancashire-14 ITL2 sub-region 26,959 29,119 79.0 2,160 8.0 2.6
Cumbria ITL2 sub-region 27,833 29,992 81.4 2,159 7.8 1.7
Greater Manchester ITL2 sub-region 31,348 34,246 92.9 2,898 9.2 4.1
Merseyside ITL2 sub-region 26,999 28,906 78.5 1,907 7.1 3.2
Cheshire ITL2 sub-region 39,027 42,699 115.9 3,672 9.4 3.7
North West ITL1 region 30,299 32,889 89.3 2,590 8.5 3.5
United Kingdom (less Extra-Regio) (5) 33,887 36,844 100.0 2,957 8.7 3.2

Notes: (1) Estimates of workplace based GDP per head allocate values to the region or area in which the economic activity takes place; (2) Revised nominal GDP per head figures at current prices (unadjusted for inflation); (3) Provisional nominal GDP figures at current prices (unadjusted for inflation); (4) GDP per head indices at current market prices (unadjusted for inflation) = (GDP per head for each area divided by GDP per head for the UK less Extra-Regio) multiplied by 100 (where UK less Extra-Regio = 100); (5) The GDP for Extra-Regio comprises compensation of employees and gross operating surplus which cannot be assigned to regions, such as oil and gas production on the continental shelf; (6) Nominal provisional change in GDP per head at current market prices (unadjusted for inflation): (7) 'Real' provisional change in GDP per head, adjusted for inflation using 2019 money values and chained volume measures (CVM). 

SourceOffice for National Statistics - Statistical bulletin- Regional economic activity by gross domestic product, UK: 1998 to 2022, published 24 April 2024.

Data: Regional gross domestic product all ITL regions, 1998 to 2022 edition, published 24 April 2024.

Local authority analysis of the provisional 2022 GDP per head figures

At the local authority level, in 2022, South Ribble (£46,023) had the highest provisional GDP per head figure in the Lancashire-14 ITL2 area and was the fourth highest in the North West region, behind Manchester (£59,136), Trafford (£49,997) and Warrington (£48,417). GDP per head for South Ribble was 24.9% above the UK figure of £36,844 and the 50th highest in the UK, falling in the top 14% of the 361 local authority rankings.

The City of London had the greatest provisional GDP per head figure in the UK in 2022 with an astonishing GDP sum of £9,152,515 per head. This highlights the problem of using the gross domestic product total for an area divided by the resident population in that area as it does not take into account commuting patterns. The 2023 mid-year population for the City of London was estimated to be just 13,500 persons, whilst the number of workers in the area was estimated to be 614,500 (source: City of London, Our Corporate Plan 2024-2029, Our Impact and Key Facts). GDP for the City of London was provisionally estimated at £99.277 billion in 2022, a large percentage of which will have been generated from financial, professional and business services.

Westminster (£435,304) had the second highest provisional GDP per head figure in the UK in 2022, followed by Camden (£174,117), Islington (£120,410) and Tower Hamlets (£116,712).

Within the Lancashire-14 ITL2 sub-region, Fylde (£38,158) was only the second local authority in the area to have a GDP per head figure above the UK amount (£36,844) by 3.6%. The figure was ranked in 87th position in the UK, or within the top quarter of the rankings.  

The provisional GDP per head figure for Preston (£36,831) was only marginally below the UK figure (£36,844) by 0.035%. The Preston GDP per head figure was ranked in 94th position in the UK, or just outside the top quarter of the UK local authority rankings.  

The GDP per head figures for Ribble Valley (£36,135) and West Lancashire (£30,826) were the fourth and fifth highest in the Lancashire-14 ITL2 sub-region and were ranked in the 105th and 155th positions nationally (or in the top third and top 43% of the UK rankings, respectively). The GDP per head figure for Ribble Valley was 1.9% below the UK figure whilst the West Lancashire amount was 16.3% below the UK figure.  

The remaining nine local authorities in the Lancashire-14 ITL2 sub-region had provisional GDP per head figures that fell in the lower half of the UK rankings and were between 24.0% to 45.5% below the UK GDP per head figure of £36,844.

Rossendale (£20,094) had the lowest provisional GDP per head figure in the Lancashire-14 ITL2 sub-region in 2022, the second lowest figure in the North West and was ranked 20th lowest in the UK. The GDP per head figure for Wyre (£20,801) was the second lowest in the Lancashire-14 ITL2 sub-region, the fourth lowest in the North West region and was ranked 34th lowest in the UK. The Rossendale and Wyre GDP per head figures were 45.5% and 43.5% below the UK figure (£36,844), respectively. Both of these figures fell in the lowest 10% of the UK local authority rankings. Tameside (£18,977) had the lowest GDP per head figure in the North West region.  

The GDP per head figures for Pendle (£21,981), ranked in the 49th lowest position, and Hyndburn (£22,457), ranked in the 58th lowest place, fell in the lowest sixth of the UK rankings. They were the third and fourth lowest figures in the Lancashire-14 ITL2 sub-region and were 40.3% and 39.0% below the UK figure in 2022.

The lowest provisional GDP per head figures in the UK in 2022 were estimated to be for Lewisham (£16,258), in London; South Tyneside (£16,624), in the North East; East Renfrewshire (£16,692), in Scotland; Castle Point (£16,709), in the East of England; and Ards and North Down (£17,635) in Northern Ireland.

Table 6: Workplace based gross domestic product (GDP) per head(1) at current market prices for 2021 (revised) and 2022 (provisional), plus 2022 GDP per head indices, and nominal change (unadjusted for inflation) and real change (adjusted for inflation) from 2021 to 2022 for Lancashire local authority areas, North West ITL2 sub-regions, the North West ITl1 region and the UK (less Extra-Regio). Both change figures are provisional.

Area

2021 GDP per head (2)

(£)

2022 GDP per head (3)

(£)

2022 GDP per head Indices (4) (UK less Extra-Regio(5) = 100)

Nominal change in GDP per head (6), 2021 (2) to 2022 (3)

(£)

Nominal change in GDP per head (6), 2021 (2) to 2022 (3)

(%)

'Real' change in GDP per head (7), 2021 to 2022

(%)

Burnley 25,614 27,341 74.2 1,727 6.7 1.3
Chorley 23,494 25,248 68.5 1,754 7.5 2.4
Fylde 36,146 29,151 103.6 2,012 5.6 0.1
Hyndburn 21,299 22,457 61.0 1,158 5.4 0.0
Lancaster 24,594 26,739 72.6 2,145 8.7 3.6
Pendle 21,459 21,981 59.7 522 2.4 -4.2
Preston 34,518 36,831 100.0 2,313 6.7 2.5
Ribble Valley 36.886 36,135 98.1 -751

-2.0

-9.4
Rossendale 18,355 20,094 54.5

1,739

9.5 3.0
South Ribble 41,245 46,023 124.9 4,778 11.6 4.7
West Lancashire 28,252 30,826 83.7 2,574 9.1 3.3
Wyre 18,940 20,801 56.5 1,861 9.8 3.5
Blackburn with Darwen 25,280 28,019 76.0 2,739 10.8 6.5
Blackpool 22,815 25,725 69.8 2,910 12.8 10.3
Lancashire-14 ITL2 sub-region 26,959 29,119 79.0 2,160 8.0 2.6
North West ITL1 region 30,229 32,889 89.3 2,590 8.5 3.5
United Kingdom (less Extra-Regio) (5) 33,887 36,844 100.0 2,957 8.7 3.2
Notes: (1) Estimates of workplace based GDP allocate values to the region or area in which the economic activity takes place; (2) Revised nominal figures (current market prices); (3) Provisional nominal figures (current market prices); (4) The GDP for Extra-Regio comprises compensation of employees and gross operating surplus which cannot be assigned to regions, such as oil and gas production on the continental shelf; (5) Nominal change in GDP per head  (current market prices), unadjusted for inflation; (6) 'Real' change in GDP per head, adjusted for inflation using 2016 money values and chained volume measures.

SourceOffice for National Statistics - Statistical bulletin - Regional economic activity by gross domestic product, UK: 1998 to 2022, published 24 April 2024.

Data files: Regional gross domestic product: local authorities, 1998 to 2022 edition, and Regional gross domestic product: all ITL regions, 1998 to 2022 edition, both published 24 April 2024.

Provisional yearly growth/decline in 'real' (adjusted for inflation) GDP per head figures, 2021 to 2022

The provisional 'real' growth of the GDP per head figure for the Lancashire-14 ITL2 sub-region (adjusted for inflation) between 2021 and 2022 at +2.6% was lower than that recorded for the UK (less Extra-Regio) of +3.2%. 'Real' growth in GDP per head for the North West region was provisionally estimated at +3.5%, slightly above the national figure.

The Greater Manchester (+4.1%) Cheshire (+3.7%), and Merseyside (+3.2%) ITL2 sub-regions had the greatest provisional 'real' growth rates in GDP per head in the region between 2021 and 2022, and were higher than the increase in Lancashire (+2.6%). The Cumbria ITL2 sub-region saw the lowest provisional growth to its GDP per head figure in the North West over the year of +1.7%. 

At the ITL3 level within the Lancashire-14 ITL2 sub-region, 'real' GDP per head was estimated to have increased by the greatest percentage in Blackpool (+10.3%) between 2021 and 2022, followed by Blackburn with Darwen (+6.5%) and the Lancaster and Wyre ITL3 area (+3.5%). These three areas were above the UK (less Extra-Regio) 'real' growth rate of +3.2%. 

For the Chorley and West Lancashire ITL3 area (+3.0%) and the Mid Lancashire ITL3 area (+0.8%),'real' growth was below the UK increase. 

In contrast, the East Lancashire ITL3 area showed a 'real' decline to its GDP per head estimate of -0.2% over the year.

Six local authority areas within the Lancashire-14 ITL2 sub-region saw their 'real' GDP per head figures (adjusted for inflation) increase provisionally by more than the 'real' UK growth of 3.2% between 2021 and 2022. These six local authorities were Blackpool (+10.3%), Blackburn with Darwen (+6.5%), South Ribble (+4.7%), Lancaster (+3.6%), Wyre (+3.5%) and West Lancashire (+3.3%).  

Five local authority areas within the Lancashire-14 ITL2 sub-region saw their 'real' GDP per head figures (adjusted for inflation) increase provisionally by less than the 'real' UK growth of 3.2% between 2021 and 2022. These five local authorities were Rossendale (+3.0%), Preston (+2.5%), Chorley (+2.4%), Burnley (+1.3%) and Fylde (+0.1%).

Hyndburn (0.0%) saw no 'real' provisional growth between between 2021 and 2022. 

The two remaining local authorities within the Lancashire-14 ITL2 sub-region saw their 'real' GDP per head figures decline provisionally between 2021 and 2022. Ribble Valley (-9.4%) saw the greatest fall over the year, followed by Pendle (-4.2%).  

Links to related statistical bulletins and data

Gross domestic product

ONS statistical bulletin -Regional economic activity by gross domestic product, UK: 1998 to 2022, published 24 April 2024

Data - Regional gross domestic product: all ITL regions, 1998 to 2022 edition, published 24 April 2024

Data - Regional gross domestic product: local authorities, 1998 to 2022 edition, published 24 April 2024

Data - ONS links to all data related to Regional economic activity by gross domestic product, UK: 1998 to 2022

Gross value added

Lancashire Insight analysis of gross value added (GVA) in the Lancashire-14 ITL2 sub-region

Labour productivity 

Statistical bulletin - Regional and subregional labour productivity, UK: 2022, published 17 June 2024. See section 4 for links to labour productivity data at different geographic levels.

Further GDP trend analysis to follow

Page updated 16 January 2025 (initial analysis of 2022 provisional and 2021 revised estimates).