The internet is an economic powerhouse that is driving the economy in the East Midlands through jobs, businesses and output, new Internet Association (IA) analysis reveals today.
The new research highlights the value the internet brings right across the UK economy. Nationally, the internet economy contributes approximately 400,000 jobs, 80,000 businesses, and £45 billion in Gross Value Added to the UK’s Gross Domestic Product (GDP). These equate to about 1.2 percent of UK jobs, 3.1 percent of UK enterprises, and 2.3 percent of UK GDP.
The new research also gives a view of how important the internet economy is to the East Midlands. IA, using a proprietary measurement approach, finds that the estimated number of internet sector jobs in the region is approximately 22,000, the estimated number of internet sector businesses is 4,000 and the estimated value-added generated from the internet sector is £2.1 billion.
The findings showed:
- In the East Midlands, the constituency with the highest number of internet sector jobs is Nottingham South which has approximately 1,570 internet sector related jobs.
- The constituency with the largest number of businesses in the internet sector in the East Midlands is South Northamptonshire (210 businesses).
- The constituencies with the highest concentration of internet sector businesses in this region are Northampton North and Leicester East, where 4.1 percent of all local businesses are internet sector businesses. Rushcliffe and Sherwood have the second and third highest shares of internet sector businesses with 3.9 percent and 3.1 percent respectively.
- The largest contributor to value-added in the East Midlands is Nottingham South, with over £78 million in value-added contributions. The second greatest contributor is South Northamptonshire with £76 million and third is Nottingham East with £73 million.
UK Executive Director Daniel Dyball said: “These figures highlight the true value of the internet sector to communities in the East Midlands. From Boston to Nottingham, the internet is a major economic engine in the region.”
The findings of the report also showed:
- The internet sector provides nearly 400,000 jobs across the UK
- The average number of internet sector jobs per constituency is 590
- The median number of internet sector jobs across constituencies is 330
- The internet sector provides approximately 80,000 businesses in the UK
- The average number of internet sector businesses per constituency is 120
- The median number of internet sector businesses across constituencies is 80
- The internet sector contributes approximately £45 billion in value-added, the equivalent of 2.3 percent of GDP
- The average value-added generated from the internet sector per constituency is £69 million
- The median value-added generated from the internet sector across constituencies is £50 million
Dyball continued: “The positive figures and tangible benefits are only set to grow as technology develops, but the Government must ensure the UK has the right policies to allow the internet to thrive. We are keen to work with the new Government to make the UK one of the best internet economies in the world.”