economic value

NESTA Innovation Index

New Index puts Economic Value on Innovation

Two thirds of private sector productivity growth between 2000 and 2007 was driven by innovation, claims a new report by NESTA, the National Endowment for Science, Technology and the Arts. The findings are revealed in NESTA’s Innovation Index – the most ambitious attempt yet to measure the contribution of innovation to the UK’s economic growth. The Index, which will be published on an annual basis, reveals a direct link between the amount of innovation that companies invested and productivity output. UK businesses invested £133bn in innovation in 2007 (the most recent year covered by the Index), representing 14% of private sector output. The effect of all this innovation is increased productivity. Two-thirds of UK private sector productivity – 1.8 percentage po... »