More Bad News for the U.K. Economy: Heat-Sapping Productivity

The U.K. economy’s productivity woes are set to get even worse -- at least temporarily.

(Bloomberg) -- The U.K. economy’s productivity woes are set to get even worse -- at least temporarily.

U.K. temperatures are hitting near-record highs, meaning workplace productivity could slump as much as 30% on Thursday.

Forecasts show the mercury could soar to 39 degrees Celsius (102 Fahrenheit) for the first time ever in the country. According to research from the Office of Scientific and Technical Information, overall output drops by 2% for every degree over 25 Celsius.

The temperatures are already creating a public health threat and slowing transportation around the U.K.

By 2026, hotter days in London could cost the city more than 2 billion euros ($2.2 billion) each year in gross added, according to research completed at the London School of Economics. The study evaluated three cities across Europe -- London, Bilbao and Antwerp -- showing differing losses by location as well as industry.

Read More: European Heat Records Tumble With Paris Warmer Than Cairo

“It isn’t just about the upper temperature reaching a certain threshold, thresholds are different for different kinds of work,” said Helia Costa, the research fellow who led the study. “If it gets to 40 degrees, even people sitting at their desk with some sort of ventilation or air conditioning, are still going to suffer productivity losses.”

The researcher, now at the Toulouse School of Economics in France, said temperature-related productivity losses can be mitigated immediately by employers encouraging workers to take long breaks more frequently and changing staffers’ hours to times when the heat is less intense. Her report also says improvements in air conditioning, ventilation and insulation can lessen the negative effects on productivity.

©2019 Bloomberg L.P.

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