Census 2011 Briefing Paper
Economy
Date of Publication
22 January 2013
Published by
Policy, Research and Engagement
This report identifies the economic performance of the city as a whole and as such it uses
some very specific terminology that may not be familiar. A guide to the terminology used is
to be found in the appendix. All data shown here uses the NUTS3 geographical classification
(Nomenclature of territorial units for statistics).
Key Findings
In Derby:

o
The total gross value added in 2010 (£5,675 million) represents 7.1% of the total
GVA for the East Midlands region.

Between 1998 and 2010, the total GVA increased at an average nominal rate of
3.6% per year

In 2010, the GVA per head of population was £22,990, higher than the East
Midlands or England.

Between 1998 and 2010 GVA from production fell from 41% to 31%.

In 2010 production still made up the largest percentage share of the total GVA
with (30.5%).

There is a significant number of industry categories with GVA outperforming the
East Midlands and England, such as production, information and communication
and real estate.

In 2011, the GDHI was £12,479, 22.2% below the UK average.

The average annual GDHI increase was 2.6% for the period 1998 to 2011, lower
than the East Midlands and England.
1.0 Introduction
The Office for National Statistics (ONS) conducted the latest Census on 27 March, 2011. It
is estimated that 92% of people in Derby responded to the Census.
Page | 1
2.0 Economic performance – Gross Value Added (GVA) at current prices
The total gross value added for Derby in 2010 (£5,675 million) represents 7.1% of the total GVA for the East Midlands region.
Between 1998 and 2010, the total GVA for Derby increased at an average nominal rate of 3.6% per year. This growth rate is less than
the average annual change in both the East Midlands (3.9%) and England (4.3%).
Table 2.0.1 - Headline GVA at current prices 1998 to 2004
1998
1999
2000
Derby
East Midlands
England
3,706.0
50,377.0
662,498.0
3,933.0
52,176.0
694,628.0
4,102.0
53,941.0
723,298.0
2001
£ Million
4,273.0
56,710.0
761,194.0
2002
2003
2004
4,421.0
59,988.0
800,319.0
4,633.0
64,200.0
853,981.0
4,795.0
67,655.0
901,086.0
Source: Office for National Statistics, Census 2011, April 2013 Update
Table 2.0.2 – Headline GVA at current prices 2005 to 2010
2005
2006
2007
2008
£ Million
Derby
5,017.0
5,279.0
5,542.0
5,585.0
East Midlands
70,509.0
74,367.0
78,353.0
79.227.0
England
947,218.0
997,356.0 1,056,933.0 1,080,363.0
2009
2010
5,448.0
77,251.0
1,063,683.0
5,675.0
79,914.0
1,099,713.0
Source: Office for National Statistics, Census 2011, April 2013 Update
Figure 2.0.1 shows that Derby had the lowest average % change in GVA between 1998 and 2010 with 3.6% this is 0.3% lower than the
East Midlands and 0.7% lower than England.
Page | 2
Table 2.0.4 and Figure 2.0.1 illustrate a significant drop in the year on year change in GVA.
Between 2006 and 2007 an increase of 5.0% and 2008 to 2009, a decrease to -2.5%. This
downturn is reflected at a regional and national level, the East Midlands falling to -2.5% and
England performing significantly worse at -1.5%.
GVA recovery between 2008 to 2009 and 2009 to 2010 has been most significant in Derby
increasing to 4.2% from a low point of -2.5%.
Figure 2.03 - GVA at current basic prices - year-on-year change
1998 to 2004
Derby
England
East Midlands
Percentage
5.1
6.1
4.8
4.1
4.3
3.6
7.0
5.8
6.7
5.2
5.1
4.8
5.5
5.4
4.2
3.5
3.5
3.4
1998 to 1999 1999 to 2000 2000 to 2001 2001 to 2002 2002 to 2003 2003 to 2004
Source: Office for National Statistics, Census 2011, April 2013 Update
Figure 2.0.4 - GVA at current basic prices - year-on-year change
2004 to 2010
East Midlands
Percentage
5.1
4.6
4.2
5.5
5.3
5.2
Derby
England
6.0
5.4
4.2
5.0
3.4
3.4
2.2
1.1
-1.5
0.8
2004 to 2005 2005 to 2006 2006 to 2007 2007 to 2008 2008 to 2009 2009 to 2010
-2.5
Source: Office for National Statistics, Census 2011, April 2013 Update
Page | 3
-2.5
Figure 2.0.5 further illustrates the downturn in GVA. Between 2006 and 2008 Derby had the
greatest downturn in year on year change, falling from 5.0% in the 2006 to 2007 period to
0.8% in the 2007 to 2008 period and then to -2.5% in the 2008 to 2009 period.
Figure 2.05 - GVA year-on-year nominal change
Derby
Percentage
England
East Midlands
7.0
5.8
6.1
4.8
3.6
4.3
5.2
4.1
5.1
3.4
4.2
5.1
3.5
6.7
4.8
5.5
5.1
5.4
4.6
3.5
4.2
5.5
6.0
5.3
5.4
5.2
5.0
4.2
3.4
3.4
2.2
1.1
0.8
1998 to 1999 to 2000 to 2001 to 2002 to 2003 to 2004 to 2005 to 2006 to 2007 to 2008 to 2009 to
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
-1.5
-2.5
-2.5
Source: Office for National Statistics, Census 2011, April 2013 Update
3.0 Economic Performance – Gross value added per head of population at
current prices
In 2010, the GVA per head of population for Derby was £22,990 this was greater than the
GVA per head for the East Midlands region (£17,832) and greater than England (£21,054).
Between 1998 and 2010, the average annual increase of GVA per head for Derby was 3.0%.
This was lower than the East Midlands with 3.2% and England with 3.7%.
Page | 4
Figure 3.0.1 Headline GVA at current prices (£) 1998 to 2004
Derby
16,050
England
17,774
17,008
13,570
14,167
14,691
12,190
12,565
12,941
1998
1999
2000
East Midlands
18,522
19,037
15,393
16,120
2001
17,982
17,126
15,765
15,091
14,210
13,536
20,371
19,849
2002
2003
2004
Source: Office for National Statistics, Census 2011, April 2013 Updates
Figure 3.0.2 Headline GVA at current prices (£) 2005 to 2010
Derby
21,140
18,769
16,295
2005
22,020
19,647
17,046
2006
England
East Midlands
22,924
22,970
20,681
20,992
17,820
17,887
2007
2008
22,317
22,990
20,531
21,054
17,355
2009
17,832
2010
Source: Office for National Statistics, Census 2011, April 2013 Updates
4.0 Economic performance – Gross value added at current prices by
industry group
In Derby, production made up the largest percentage share of the total GVA in Derby
(30.5%). Between 1998 and 2010, the GVA of this industry group increased at an average
annual rate of 1.1%. The second largest industry group in 2010 was Public administration;
education; health, accounting for 21.1% of the total GVA for Derby.
Between 1998 and 2010, the GVA of this industry group increased at an average annual rate
of 6.9%. The financial and insurance activities sector showed the largest percentage increase
between 1998 and 2010 with an average annual change of 8.2%.
Page | 5
Production and construction GVA has remained little changed between 1998 and 2010,
increasing by 1.1% and 1.2% respectively.
Only Agriculture, forestry and fishing show negative growth, and these have very little
significance within the city economy.
Page | 6
Table 4.0.1 – City GVA by Industry Group 1998-2004
1998
Agriculture, forestry and fishing
Production
Construction
Distribution; transport; accommodation and food
Information and communication
Financial and insurance activities
Real estate activities
Business service activities
Public administration; education; health
Other services and household activities
1999
2000
3
4
3
1,519 1,611 1,681
214
231
245
541
567
577
101
118
139
106
101
94
260
266
274
342
340
337
537
603
651
82
93
98
2001 2002 2003
£ million
3
3
3
1,706 1,683 1,632
263
272
296
602
633
678
157
173
191
105
115
137
287
320
361
355
379
411
695
737
808
101
107
116
2004
3
1,583
321
717
206
158
382
435
867
123
Source: Office for National Statistics, Census 2011, April 2013 Update
Table 4.0.2 – City GVA by Industry Group 2005-2010
Agriculture, forestry and fishing
Production
Construction
Distribution; transport; accommodation and food
Information and communication
Financial and insurance activities
Real estate activities
Business service activities
Public administration; education; health
Other services and household activities
2005
2006
2
1,594
331
748
210
202
406
463
932
130
2
1,658
347
792
212
221
430
481
1,002
133
Source: Office for National Statistics, Census 2011, April 2013 Update
Page | 7
2007
2008
£ million
3
3
1,700 1,665
353
335
825
821
221
229
249
277
497
510
485
470
1,073 1,138
135
139
2009
2010
3
1,630
272
801
225
299
443
451
1,183
141
2
1,729
246
836
236
273
533
474
1,199
148
Average annual
change 19982010
(%)
-3.3
1.1
1.2
3.7
7.3
8.2
6.2
2.8
6.9
5
Figure 4.0.2 - City GVA change over time at current basic prices by industry
1998
2001
2004
2007
2010
Agriculture,
forestry and
fishing
Production
Construction
Distribution; Information and Financial and
transport;
communication
insurance
accommodation
activities
and food
Real estate
activities
82
101
123
135
148
537
695
342
355
435
485
474
260
287
382
497
533
106
105
158
249
273
101
157
206
221
236
214
263
321
353
246
541
602
717
825
836
867
1,073
1,199
1,519
1,706
1,583
1,700
1,729
£ million
Business
Public
Other services
service activities administration; and household
education;
activities
health
Source: Office for National Statistics, Census 2011, April 2013 Update
Figures 4.0.3 and 4.0.4 illustrate the changes in the share of GVA by industry group in Derby between 1998 and 2010. One of the most
notable changes is the decrease in GVA from production from 41% to 31%. It is clear that GVA from other industry sectors has grown to
compensate for the reduction in production GVA share. The industry showing the most significant GVA growth is construction 14% to
21%. The majority of other industry sectors are showing smaller increases in their GVA share.
Page | 8
Figure 4.0.3 - Share of GVA by industry group,
Derby 1998
2%
Figure 4.0.4 - Share of GVA by industry group,
Derby 2010
0%
0%
3%
14%
21%
31%
9%
41%
8%
7%
4%
3%
9%
3%
15%
5%
6%
Agriculture, forestry and fishing
Production
Construction
Distribution, transport, accommodation and food
Information and communication
Financial and insurance activities
Real estate activities
Business service activities
Public administration; education; health
Source: Office for National Statistics, Census 2011, April 2013 Update
15%
4%
Agriculture, forestry and fishing
Production
Construction
Distribution; transport; accommodation and food
Information and communication
Financial and insurance activities
Real estate activities
Business service activities
Public administration; education; health
Source: Office for National Statistics, Census 2011, April 2013 Update
Page | 9
Table 4.0.3 illustrates that Derby has a significant number of industry categories with GVA
outperforming the East Midlands and England, of particular note are:




production (30.5%),
information and communication (4.2%),
real estate activities (9.4%)
and public administration and health (21.1%).
Those industry groups in Derby where GVA as a percentage of total GVA is significantly
lower than the East Midlands and England are the distribution, and construction categories
and to a lesser degree business service activities.
Table 4.0.3 - GVA by industry at current basic prices as a percentage of total GVA
East
Derby Midlands England
Agriculture, forestry and finishing
0.0
1.2
1
Production
30.5
20.9
14
Construction
4.3
7.1
6
Distribution; transport; accommodation and food
14.7
21.7
19
Information and communication
4.2
3.5
6
Financial and insurance activities
4.8
4.3
10
Real estate activities
9.4
7.6
8
Business service activities
8.4
9.9
12
Public administration; education; health
21.1
20.4
20
Other services and household activities
2.6
3.4
4
Source: Office for National Statistics, Census 2011, April 2013 Update
Figure 4.5 shows GVA by industry as a percentage of the total GVA in Derby the East
Midlands and England. Despite its share of GVA declining since 1998 production in Derby
30.5% is still higher than in the East Midlands 20.9% and England 13.6% showing that it is
the most significant industry sector in the city.
Page | 10
Figure 4.0.5 - Shares of GVA by industry as a percentage of the total GVA in the
NUTS 3 area, 2010
Percentage
100%
2.6
3.4
3.5
Other services and household activities
90%
21.1
19.5
20.4
Public administration; health; education
80%
Business service activities
70%
8.4
40%
30%
12.4
Real Estate activities
9.4
7.6
4.8
4.3
3.5
60%
50%
9.9
4.2
14.7
8.3
Financial and insurance activities
10.1
Information and communication
6.2
Distribution; transport; accommodation and
food
21.7
Construction
4.3
19.4
7.1
Production
20%
6.4
30.5
20.9
10%
13.6
0%
0
1.2
0.6
Derby
East Midlands
England
Page | 11
Agriculture, forestry and fishing
5.0. Gross disposable household income (GDHI) per head at current prices
In 2011, the GDHI in Derby was £12,479, 22.2% below the UK average, while the East Midlands region was 9.2% below the UK
average. Other features of GDHI in Derby include:

GDHI per head in 2011 was further below the UK average than in 1998 where it was 11.7% below the UK average.

In 1998 Derby had a GDHI of 11.7% compared to 22.2% in 2011 this shows a downturn over time of 10.5%.

The average annual GDHI increase in Derby 2.6% for the period 1998 to 2011 was lower than both the East Midlands and
England with 3.5%.
Table 5.0.1 - Gross disposable household income (GDHI) per head at current prices 1998 - 2004
1998
1999
2000
2001
2002
£ per head
Derby
8975.0
9105.0
9258.0
9781.0
10337.0
East Midlands
9325.0
9651.0
10054.0
10692.0
11140.0
England
10371.0
10767.0
11328.0
12012.0
12385.0
2003
2004
10839.0
11806.0
11115.0
12166.0
12892.0
13254.0
Source: Office for National Statistics, Census 2011, April 2013 Update
Table 5.0.2 - Gross disposable household income (GDHI) per head at current prices 2005 - 2011
2005
2006
2007
2008
Derby
East Midlands
11465.0
12527.0
11828.0
12881.0
11567.0
13154.0
2009
£ per head
11709.0
12107.0
13480.0
13727.0
England
13647.0
14171.0
14505.0
14926.0
Source: Office for National Statistics, Census 2011, April 2013 Update
Page | 12
15328.0
2010
2011
Average annual
change
12269.0
14177.0
12479.0
14561.0
2.6
3.5
15831.0
16251.0
3.5
Table 5.0.1 - GDHI per head at current prices
£ per head
England
East Midlands
Derby
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Source: Office for National Statistics, Census 2011, April 2013 Update
Page | 13
Appendix
Gross value added (GVA) at market prices is output at market prices minus intermediate
consumption purchaser prices; it is a balancing item of the national accounts production
account.
GVA at basic prices is output at basic prices minus intermediate consumption at purchaser
prices. The basic price is the amount receivable by the producer from the purchaser for a unit
of a product minus any tax on the product plus any subsidy on the product.
GVA by industry sector is the sum of GVA at basic prices over all industries plus taxes on
products minus subsidies on products gives gross domestic product. Gross value added of
the total economy usually accounts for more than 90 % of GDP.
Gross disposable household income (GDHI) is the amount of money that individuals (i.e.
the household sector) have available for spending or saving. This is money left after
expenditure associated with income, e.g. taxes and social contributions, property ownership
and provision for future pension income. It is calculated gross of any deductions for capital
consumption.
The household sector covers people living in traditional households as well as those living in
institutions. The latter includes people living in retirement homes and prisons. The sector
includes sole trader enterprises and non-profit institutions serving households.
GVA by industry group refers to the contribution to gross value added by each industrial
groups.
The NUTS classification (Nomenclature of territorial units for statistics) is a hierarchical
system for dividing up the economic territory of the EU for the purpose of:

The collection, development and harmonisation of EU regional statistics.

Socio-economic analyses of the regions.
o
NUTS 1: major socio-economic regions
o
NUTS 2: basic regions for the application of regional policies
o
NUTS 3: small regions for specific diagnoses
The NUTS 3 hierarchy refers to the smallest NUTS geographical areas and is made up of
counties and groups of unitary authorities. NUTS 3 enables more detailed analysis to be made of
economic conditions within specific areas.
e
Page | 14