The Economy of the United Kingdom of Great Britain and Northern Ireland Part II

Manufacturing Industries. Manufacturing, one of the main sectors of the British economy deals with making finished goods from raw materials. It is a broad category of output covering production of textiles, wood and metal products, paper, plastics, rubber, vehicles, machinery and equipment, and a host of other produced goods. Manufacturing includes electronics, aerospace, chemical, plastics, paper and printing industries.

To start with the British manufacturing industry it is necessary to emphasize the following: while the decrease in agriculture is a long-standing trend, the fall in the share of manufacturing industry is the major economic problem. This phenomenon is common to all developed countries. Though, thanks to the increasing use of intensive methods and modern technologies Great Britain remains one of the most highly industrialized countries of the world.

In the age of modern technology, Britain has made important advances in electronics and telecommunications equipment, aircraft and aircraft engines, radio-isotopes and new medicines.

Electronic data-processing equipment is a growing industry. Britain has originated a lot of advanced technologies in microelectronics. The main electronic consumer goods produced are television sets with an increasing proportion of widescreen and digital sets, electronic control equipment.

The aerospace industry, the third largest in the world, exports over 70% of its production. It produces civil as well as military aircraft, satellites, space systems, guided weapons and components.

Over the last decades growth has been most notable in chemical and electrical, electronic and instrument engineering. Being the fifth largest in Western Europe, the chemical industry is developing intensively and exports nearly 50% of its output. It includes key industrial materials such as plastics and synthetic rubber, and other products such as man-made fibres, soap and detergents, cosmetics, adhesives, dyes and links, and ingredients for the pharmaceutical industry. The production of iron and steel remains important part of the industrial economy. The major areas of steel production are concentrated in south Wales and northern England.

Service industries. After the Second World War Britain had its longest period of uninterrupted economic growth, steadily increasing its importance as a world financial state and has already completed its transformation into a modern service economy.

Services have experienced the fastest growth in recent years. They account for the largest proportion of gross domestic product (GDP) and employ almost 70% of the working population.

The service industries include financial, banking, retailing, wholesaling, tourism, business services, transport, insurance, investment, advertising, public relations, market research, education, administrative and government, professional services. Financial services are an important source of employment and overseas earnings.

The Bank of England, as the central bank, was nationalized in 1946 and is the bank of issue in England and Wales. It is responsible for the monetary policy of the country and also manages the country's foreign exchange and gold reserves.

Great Britain has 17 major commercial banks with more than 17.000 domestic and overseas branches. Most of which are offices of the largest banks: HSBC (the Hong Kong and Shanghai Banking Corporation Limited, London), Royal Bank of Scotland (Edinburgh), Barclays Bank (London), Lloyds TSB (the Trustee Savings Bank, London). There is also a government-run savings bank called National Savings and Investments. Some banking services are provided by the postal system, savings banks, and building societies⁶.

The pound sterling (&1) is the basic unit of currency in Britain. The European Union established the euro as its unit of currency, and other EU members made the transition to the euro between 1990 and 2002. However, the British government decided not to adopt the euro and to keep the pound as its currency.

Britain is one of the world's foremost travel destinations and tourism is an essential part of Britain's income. It employs about 1.5 million (7%) of the workforce and contributes about 3.5% to the GDP. The British Tourist Authority, supported by the government, promotes tourism in Britain and maintains hundreds of Tourist Information Centers to assist visitors.

Britain has historically been an innovator and world leader in many forms of transportation, from shipping to rail systems and aviation. Most of Britain's roads are motorways. But the network of motorways is inadequate for the volume of traffic and there are terrible congestion problems, especially in and around London.

London's main airports, Heathrow and Gatwick, are among the world's busiest centers for international travel. Heathrow itself handles more than 67 million passengers a year. There are nearly 150 other licensed civil airfields in Britain.

A railway tunnel beneath the English Channel was completed in 1993, connecting England and the European continent. The main Channel Tunnel, which is 50.4 km (32 mi) long, runs from Folkestone, England, to Calais, France. Trains carry both passengers and freight through the tunnel. The trip through the tunnel takes about 35 minutes.

London Underground operates more than 400 km of railway. Known as the tube, the system serves 275 stations, with more than 500 trains running during peak periods. The underground provides reliable public transportation for an impressive number of commuters across a larger metropolitan area. Glasgow, Liverpool, Tyne and Wear, Manchester, and Sheffield have their own urban rail system.

Date: 2015-12-11; view: 977