Area type
Region
Population
8,796,628
GDP
£504 billion
Average salary
£57,362
Labour force
6,156,399
Job Density
0.99
View trend
View trend
View breakdown
London's economy ranks among the most prosperous in England.
The Gross Domestic Product (GDP) in London was worth an estimated £504 billion in 2020, according to figures published by the ONS. London's GDP growth between 2019 and 2020 was 0.0% per year. Compare GDP by area.
The Professional, Scientific & Technical Service (e.g. legal, accounting) industry is the largest in London based on the number of jobs, accounting for 14.5% of roles in the area.
2020 ONS figures suggest that there are 5,976,000 jobs in London, which has a working-age (aged 16-65) population of 6,156,399. The 2020 job density in London is 0.97, meaning there are 0.97 jobs per member of the London working-age population.
London had a mean average salary for full-time employees of £57,362 in 2022. London's unemployment rate is 4.8% as of 2022. Compare unemployment rate by area.
The 2020 labour force or working-age population in London is 6,156,399 or 70.0% of the total population.
In 2022, 95.2% of the labour market was recorded as employed, above the 94.8% average rate for England. Of those employed, 14.9% are self-employed, and 85.1% are employees.
The Annual Population Survey for 2021 published by the ONS reports the percentage of the London working-age (aged 16-64) population who have a degree or higher is 59.0%, which is above the 42.8% degree qualification rate for England.
Over 71% of the London working-age population have at least 2 A-levels (or equivalent), and 6% have no qualifications.
Qualifications classifications
Main page: London Salary
The average salary in London as of 2022 is £57,362. Between 2021 and 2022, average salaries grew by £3,645. Compare average salaries by area.
London's salary growth rate is 6.79% per year based on changes in average salary between 2021 and 2022, which is 6.79% higher than the average salary growth rate in London over the past 9 years.
In London, the highest average wages are found in Inner London where the average salary is £65,863 and the lowest average wages are found in Outer London where the average salary is £40,469. The difference in average salary between the two areas is £25,394 - the average person in Inner London earns 62.7% more than the average person in Outer London.
Business data published by the ONS in 2021 show the most common job group in London is Business, Media And Public Service Professionals, accounting for 14% of all roles in the area. In England as a whole, the largest job group is Business & Public Service Assoc. Professionals.
The fastest-growing type of job in London is Elementary Trades And Related Occupations, with roles increasing 82% between July 2021 and July 2022. In England, the fastest-growing type of role is Corporate Managers And Directors.
Occupation | Number | Percentage | CHANGE |
|---|---|---|---|
| Business, Media And Public Service Professionals | 677,300 | 14.1% | 29.7% |
| Science, Research, Engineering And Technology Profs | 493,800 | 10.3% | 18.4% |
| Corporate Managers And Directors | 448,800 | 9.3% | -1.1% |
| Business & Public Service Assoc. Professionals | 401,600 | 8.4% | -24.6% |
| Administrative Occupations | 366,700 | 7.6% | 1.6% |
There was a 4% increase in roles between 2020 and 2021. In England as a whole, there was a 3% decrease.
Based on the total number of jobs, the largest industry in London is Professional, Scientific & Technical Service (e.g. legal, accounting). Other major industries include Health, which represents over 10% of roles in London.
Financial & Insurance companies make up 8% of the London economy that's higher than the average for England as a whole (~3%).
8% of the total jobs in London are in Information and Communication, one of the key sectors for the future, above the 5% of jobs in England as a whole.
Industry | Number | Percentage |
|---|---|---|
| Professional, Scientific & Technical | 792,000 | 14.5% |
| Health | 575,000 | 10.6% |
| Business Administration & Support Services | 522,000 | 9.6% |
| Information & Communication | 449,000 | 8.2% |
| Financial & Insurance | 433,000 | 7.9% |
The fastest-growing industry in London is Agriculture, Forestry & Fishing, with jobs in the sector increasing 43% between 2020 and 2021 from 1,750 to 2,500. In England more broadly the fastest-growing industry is Healthcare.
The industry with the biggest decline in London between 2020 and 2021 was Transport & storage, which saw an 10% decrease in roles, going from 260,000 to 234,000. In England more broadly the industry with the biggest year on year decline was Arts, entertainment & recreation, with roles decreasing by 8%.
The Information and communication industry includes many of the top companies of the future. In London, the number of roles in this sector has risen by 11% over the past year, above the 1% annual increase seen in England.
London Demographics
London Crime
Rental Market of London
2022 UK Business Count data published by the ONS show there are 2,190 large businesses in London, making up 0.4% of total businesses - in England, 0.4% of businesses are large. A large business is defined as having over 250 employees.
There are 7,875 medium-sized businesses based in London, making up 1.5% of total businesses - in England, 1.5% of businesses are medium-sized. A medium-sized business is defined as having between 50 and 249 employees.
There are 39,890 small businesses based in London, making up 7.4% of total businesses - in England, 8.3% of businesses are small. A small business is defined as having between 10 and 49 employees.
London's unemployment rate is 4.8% that's 0% lower than the average unemployment rate for England as a whole. Unemployment rates are the number of unemployed people as a percentage of the working-age population.
The main group within the unemployment population is Student, representing 34.2% of the unemployed population.
Secondary classifications include groups: looking after family, long-term sick, other, all of which represent over 10% of the unemployed population.
In England as a whole, students are the main group within the unemployed population, accounting for 28.9% of the unemployed population.
Source: Office for National Statistics licensed under the Open Government Licence v.3.0. Contains OS data © Crown copyright and database right 2022. Data sources: ONS Local statistics