To ask the Chancellor of the Duchy of Lancaster pursuant to the answer of 14 January 2009, Official Report, column 748W, on national income, what proportion of growth in UK gross domestic product came from growth in the financial services and banking sectors in each year from 1997 to 2007. (260101)

The information requested falls within the responsibility of the UK Statistics Authority. I have asked the authority to reply.

Letter from Karen Dunnell:

As National Statistician, I have been asked to reply to your recent Parliamentary Question about the proportion of growth to which Financial Services contributes to Gross Domestic Product (GDP) between 1997 and 2007. (260101)

When assessing industry percentages to total production it is more appropriate to assess against Total Gross Value Added (GVA) than GDP. This is because GDP equals GVA plus unallocated taxes and subsidies such as VAT which are not able to be allocated to industry production.

In chained volume GVA basic price terms (see footnote for definitions) for the calendar years 1997 to 2007 Total Financial Intermediation (which includes banking, insurance, pension funding and financial auxiliaries) contribution to Total GVA is provided in Table 1. A further breakdown is also provided which gives the contributions of the three components of Total Financial Intermediation.