UK mechanical engineering characteristics. UK economy and foreign trade. Main features of the British economy. Liverpool is an important city for the oil industry

by geography

students of 10th grade “4” of school No. 1840

Olga Dvoretskaya

Topic: "Great Britain"

Moscow

year 2001

Characteristics of EGP.

Great Britain (United Kingdom) is an island state, most of whose territory is located on two large islands separated by the waters of the Irish Sea. The total area of Great Britain is 244,017 square meters. km. The population of Great Britain is 58,395 thousand people.

Officially the country is called the United Kingdom of Great Britain and Northern Ireland. It consists of four countries: England, Scotland and Wales, located on the island of Britain, and Northern Ireland. The latter is located on the same island as the Independent Republic of Ireland. Thus, the UK shares a common land border only with Ireland.

The British Isles lie off the northwestern coast of Europe. The British Isles are surrounded by many small islands. To the southwest of the island of Britain are the Isles of Scilly, and to the north of Wales is the Isle of Anglesey. On the western and northern coasts of Scotland there are numerous small islands that are part of Great Britain. The most important of these are the Orkney Shetland Islands.

From the west, Great Britain is washed by the waters of the Atlantic Ocean, and from the east by the waters of the North Sea.

From the south, Great Britain borders on France, its closest and most developed neighbor, which shares water borders with it. The shortest distance to the northern coast of France is the Strait of Dover, but the main communication between the states is through the English Channel, called the English Channel by the British, along the bottom of which a tunnel for high-speed rail transport was built at the end of the twentieth century. Before this, communication between the two countries was carried out by water or air.

Also, the closest neighbors of Great Britain are Belgium and the Netherlands, Denmark, Germany, and Norway are located much further away.

Thus, the UK’s EGP is both neighboring and coastal, which is extremely beneficial for the economic development of the country, although it undoubtedly has certain disadvantages in strategic and military terms.

The administrative map of Great Britain has changed several times, because... the annexation of the countries that make up the United Kingdom took centuries. Each once independent state has its own capital or administrative center. The official capital of Great Britain is London, since the unification of the lands took place around England.

In the eighteenth and nineteenth centuries, Great Britain, being in first place in the world in terms of economic development, created a colossal colonial power that occupied almost a quarter of the planet's territory. British colonies included India, Pakistan, Afghanistan, Canada, Australia, New Zealand and much of Africa. In the twentieth century, the English colonies became independent states, but many of them are part of the British Commonwealth, headed by the British monarch. In 1921, the southern part of Ireland separated from Great Britain and became an independent state.

Modern administrative divisions of Great Britain

Great Britain is a constitutional monarchy

The form of government in Great Britain is a constitutional monarchy. Monarchy is the oldest of all existing forms of government. Moreover, in Great Britain the continuity of royal power was violated only once in ten centuries of the existence of the state. The current Queen of Great Britain, Elizabeth the Second, comes from the family of the Saxon King Egbert, who united England in 892, and Malcolm the Second, who ruled Scotland from 1005 to 1034.

The monarch in Great Britain is the main person of the state. Legally, the monarch leads the executive branch and is the supreme commander of the British Army. But in fact, as a result of changes that took place over many centuries, monarchs lost absolute power. The Queen rules the state with the consent of the Cabinet of Ministers, i.e. "reigns, does not rule."

The legislative body is a bicameral parliament, consisting of an Upper House - the House of Lords and a Lower House - the House of Commons. Meetings take place in the Houses of Parliament, which is one of the landmarks of London. The 650 members of the House of Commons are elected by British citizens once every five years, while membership in the House of Lords is hereditary in families of hereditary nobles.

Thus, the queen represents the state on the international stage and is a symbol of power. Executive power belongs to the cabinet of ministers, formed by the parliamentary majority.

Among the variety of political parties in Great Britain, the leading role belongs to the two largest parties. These are the Conservatives (Tory) and Labor (Whig).

UK population

The UK population is over 58 million people. National composition: English - more than 80%, Scots - 10%, Welsh (indigenous residents of Wales) - 2%, Irish - 2.5%.

A significant part of the population professes Protestantism. The exception is Northern Ireland, where the majority of residents are Catholic. Northern Ireland is a place of constant conflicts on religious and national grounds.

Since 1921, around 40% of the population lives in the seven largest urban agglomerations centered on London (Greater London), Manchester (South East Lancshire), Birmingham and Wolverhampton (West Midlands), Glasgow (Central Clydeside), Leeds and Bradford (West Yorkshire) ), Liverpool (Merseyside) and Newcase upon Tyne (Tyneside). The UK's urbanization rate is 91%. The share of the rural population is very small.

In recent years, there has been a noticeable influx of people from developing countries, mainly from Africa, Asia and Latin America.

Industry

Great Britain is one of the four countries that determine the economic power of Europe. UK industry includes many sectors, some of which are of global importance. The Midlands are the UK's main industrial region.

Metallurgy

Metallurgy in Great Britain is one of the most developed industries. It employs more than 582 thousand people. Moreover, the first place in terms of employment belongs to the ferrous metallurgy industry (332 thousand people). The rest comes from non-ferrous metallurgy. The main centers of steel and iron production are Cardiff and Swansea (Wales), Leeds (England). Annual steel production is more than 15 million tons. Aluminum smelters are located mainly in Scotland and Wales.

Consumers of ferrous metallurgy products are mainly machine-building plants.

Mechanical engineering

Mechanical engineering is one of the UK's leading industries. It includes many areas, each of which has its own location. Thus, high-tech engineering (aviation industry, electronics) are located mainly around London. Machine tool manufacturing is concentrated in the Birmingham area. Shipbuilding is a specialty of the Glasgow area, while textile engineering is developed mainly in the Manchester area.

Fuel and energy complex.

The main energy sources are coal and oil, and to a lesser extent natural gas. The coal mining industry is one of the oldest industries in the UK. At the beginning of the century, British coal dominated the world market, but now more than 80 million tons of coal are mined in Great Britain annually. The main coal mining areas are Cardiff, South Wales and Central England (Sheffield). Oil is produced on the North Sea shelf off the east coast of England and Scotland. Annual production is more than 94 million tons. The main oil refining plants are located in Southampton, Cheshire, and Yorkshire. Income from oil exports reaches 150 million pounds sterling. Gas production is 55 billion cubic meters. m. per year and grows annually. Electric power generation is based on thermal and hydroelectric power plants. Numerous hydroelectric power plants are located in the mountainous regions of Scotland and Wales, and thermal power plants are located in coal mining areas. The share of nuclear power plants is small, although in recent years there has been an increase in their construction.

Chemical industry

The chemical industry is concentrated mainly in Birmingham and Middlesbrough. This is mainly the production of plastics, detergents and disinfectants, dyes, and fertilizers. The UK is one of the largest exporters of dyes in the world. The pharmaceutical industry has reached a high level of development. Demand for medicines produced in the UK is growing every year

Light industry

Light industry is one of the oldest types of manufacturing in the UK. About 690 thousand people are employed in this area, more than half of them are women. The main areas for the development of light industry are Lancashire, Yorkshire, Liverpool, and Manchester. The production of woolen fabrics, mainly the world-famous tartan, is concentrated on the Isle of Lewis. Great Britain is one of the world leaders in the production of woolen fabrics. Knitwear production is developed mainly in Scotland and the Midlands. Linen production is concentrated mainly in Northern Ireland. Great Britain has long specialized in leather dressing and is a global exporter of leather goods. Factories involved in leather production are located everywhere, but a significant part of them are concentrated in Lancashire, Yorkshire, the Midlands, and the outskirts of London. Great Britain ranks third in the world in shoe production. More than 200 million pairs of shoes are sold annually. The UK clothing industry is the largest in Europe. The UK is a major clothing exporter. The main centers of the clothing industry are London, Leeds and Manchester.

Page 1

Metallurgy

Consumers of ferrous metallurgy products are mainly machine-building plants.

Mechanical engineering

Fuel and energy complex.

Chemical industry

Light industry

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UK territory

A state in the British Isles with a total area of 244.7 thousand square meters. km. Consists of four historical and geographical areas: England, Wales(conquered in 1264), Scotland(joined in 1707), Northern Ireland. 15 dependent territories with a population of less than 200 thousand people, mostly small islands in the Atlantic Ocean, remain under British control.

UK population

61.4 million people (2008), its growth rate in 2004-2008. amounted to 0.6%. Life expectancy is high - 79.01 years (men - 76.52 years, women - 81.63 years) (as of June 2009). External migration is positive because inflows exceed outflows. Most of the population are English (80%), Scots - 15%, the rest are Irish, Welsh (Welsh).

UK government

Parliamentary monarchy. The country does not have a constitution in the form of a fundamental law, but the laws passed by parliament have constitutional significance. The head of state is the monarch. In practice, all prerogatives are exercised by the cabinet of ministers.

Parliament consists of the House of Lords (lifetime and hereditary lords - 618 people) and the House of Commons (elected body of 659 deputies). The executive body is the government. It is formed by the leader of the party that received the largest number of seats in the House of Commons in the elections. The government consists of cabinet members and non-cabinet ministers.

Administrative divisions of Great Britain

The country is divided into 47 counties (7 municipal counties, 26 districts, 9 districts and 3 island territories). Capital London. Other major cities: Birmingham, Leeds, Liverpool, Glasgow.

Volume, rate of economic growth and other UK statistics

Index		Growth rate. %
Population, million people		Population growth
GDP, billion US dollars (at exchange rates)		Real GDP growth (adjusted for inflation)
GDP, billion US dollars (purchasing power parity)		Growth in domestic demand
GDP per capita, US dollars (at market exchange rates)		Inflation rate
GDP per capita, US dollars (at purchasing power parity)		Current account deficit, % of GDP
Average exchange rate, f. Art./Dollar USA		Inflow of foreign direct investment (FDI). % of GDP

UK Fiscal Sphere

Scarce.

Revenues in 2008 were $1.107 trillion, expenses in the same year were $1.242 trillion.

— 47.2% of GDP.

Taxes in the UK In the 1980s, income taxes were significantly reduced. Corporate income tax for large enterprises was reduced in January 2008 from 30 to 28%. Income taxation is progressive, currently maintaining two rates: 20% (reduced from 22% in April 2008) and 40% (very high income). The 10% rate has been eliminated. In April 2010, it is planned to introduce a new, higher rate for large incomes: 45%. The standard VAT rate is due to be reduced from 17.5 to 15% by the end of 2009. Excise taxes on tobacco and alcohol are among the highest in Western Europe.

Sectoral structure of the UK economy

GDP structure:

agriculture - 1.3%;
industry - 24.2%;
services - 74.5%.

The UK produces about 3.1% of global GDP. The UK's share of global exports of goods and services is 4.5%, and 5.1% of imports.

In UK industry they play an important role extractive industries. But it should be noted that with the simultaneous closure of mines, oil and gas production is increasing on the continental shelf of the North Sea. Oil production is carried out using the most advanced drilling technologies on drilling platforms. British Petroleum and the Anglo-Dutch company Royal Dutch/Shell are among the leaders in their market segment. IN manufacturing industry The following sectors have priority:

transport engineering (12.4% of total industrial production), where the automotive industry (national companies and branches of foreign companies Rover, Ford, Jaguar, Vauxhall, Honda, Nissan, Toyota), shipbuilding (including the production of ship equipment and the construction of drilling platforms) are highlighted. , the aerospace industry is the third largest in the world after the USA and France, producing civil and military aircraft (British Aerospace, Harrier, Tornado, Euro fighter), SeaKing and Linko helicopters, Rolls-Royce aircraft engines, equipment for the European concern Airbus Industry;
food industry (12.5% of total production), including the production of the famous Scotch whiskey, gin and milk;
general engineering: production of agricultural machinery and machine tools, including the production of textile machinery (Great Britain is the seventh largest manufacturer of machine tools in the world);
electronics and electrical engineering: computers (including manufacturers such as IBM and Compaq); software, telecommunications (fiber optics, radars, etc.); medical equipment; Appliances;
chemical industry: pharmaceuticals (Great Britain is the fourth largest drug manufacturer in the world); agrochemistry; perfumery; new materials and biotechnologies;
metal production (10.8% of total industrial production);
pulp and paper industry.

The development of modern industry in Great Britain is determined by the level of development of high technologies. Great Britain has the highest scientific and technological potential in Europe and ranks second in the world after the United States in terms of the number of Nobel Prizes, obtained by its scientists. The most important discoveries of the British are the structure of DNA, superconductivity, radio astrophysics, cloning, the ozone hole, and computed tomography. Great Britain's world dominance in electronics and telecommunications (British Telecom alone carries out about a thousand research discoveries per year), chemistry (pharmaceuticals, new materials, biotechnology), aerospace industry (Concord aircraft, vertical take-off and landing aircraft, radars, tracking systems) is generally recognized for air traffic).

Expenditures on scientific research and development (R&D) amount to 1.88% of GDP per year, including 31.36% of all expenses financed by the state.

The UK construction industry is well established. Worldwide recognition of the high quality of British buildings is the fact that EuroDisneyland near Paris, Olympic facilities in Atlanta, and the airport in Hong Kong were built by British companies.

At the same time, the UK has low skilled labor in industry, but in recent years this situation has been improving due to large-scale government R&D investment programs.

Services sector represented by industries such as finance and tourism. The financial services sector generates 25% of the country's GDP. It employs 12% of people of working age, and London is a global financial center, one of the financial capitals of the planet. Among the financial services, banking activities should be highlighted (in addition to British banks, the 50 largest banks in the world are represented in London), insurance, derivatives market (futures, options, global depositary receipts), bond market (Eurobonds), foreign exchange market (operations with Eurocurrencies), financial leasing, trust transactions with foreign shares, transactions with precious metals. The second most important service sector is tourism; 7% of the working population is employed here, and annual income exceeds $8 billion. London is the largest tourist center in the world.

IN energy The private sector plays a major role in the country, represented by British Petroleum, Shell, British Gaz, British Oil, and Enterprise Oil.

Agriculture Great Britain is highly traded, while its share in the country's GDP is the smallest among developed countries, only Germany has less. The UK is only half self-sufficient in food. The main agricultural crops are wheat, oats, sugar beets, barley, wheat. The country's livestock industry suffered significant damage due to an epidemic of spongiform encephalitis (“mad cow disease”) that affected cattle. For safety reasons, one third of the cow population was destroyed.

Great Britain, like all leading countries in the world, has a developed transport infrastructure. The opening of the Eurotunnel under the English Channel made Britain's connection with the continent even more stable. The country's progress in development is indicative civil aviation. British Airways is today one of the largest airlines in the world (if you count its share of participation in foreign and English companies), and London Heathrow Airport is a very important aviation harbor in the world.

The country's largest ports: Aberdeen, Belfast, Bristol, Cardiff, Dover, Glasgow, Hull, Liverpool, London, Manchester, Plymouth, Peterhead, Scapa Flow, Southampton, Falmouth, Tees, Tyne. The UK Merchant Navy consists of 155 ships.

Largest TNCs, SMEs in the UK

The development of small and medium-sized enterprises in the UK in recent years has been stimulated by the state; various tax benefits are provided to them. The level of development of small and medium-sized enterprises in the UK is at the average level in the EU. Thus, per thousand inhabitants in the UK there are 46 small and medium-sized enterprises (the overall level in the EU is 45). However, their share in GDP is not very significant (50-53%).

British companies are very large, and in the list of the 500 largest companies in the world for 2007 there are 33 of them. A serious number, considering that there are only 10 Italian companies on this list.

The UK's largest companies included in the Fortune Global 500 in 2007

Features of economic policy and main economic problems

Although Great Britain has been a member of the EEC since 1973, it has traditionally, geopolitically and economically, gravitated more toward the United States than toward Europe for a long time. The lion's share of British investments falls not on the Old World, but on the USA and Commonwealth countries, including Canada, Australia and the former colonies of the British crown.

Great Britain is a country with a highly developed, strong and independent economy. But today, attention is drawn to the discrepancy between the country’s seriously undermined positions in industrial production, international trade and the monetary sector, on the one hand, and the weakening, but still very strong positions in the export of capital, as well as the continuing role of London as one of the leading financial and commodity exchange centers - on the other hand.

If before the beginning of the 70s of the XX century. The UK distanced itself from the EU, then from this time on, against the backdrop of the “development of integration processes in the region,” the UK begins to cooperate more and more closely with the countries of Western Europe, seeing them not as competitors, as before, but as mutually beneficial partners. It is impossible not to note the unique culture of Great Britain - the customs and traditions of the British influence the politics, economy, holidays and everyday life of the British.

Over the past 20 years, the following transformations have been carried out in the English economy: 1) the public sector has been reduced (such giants of the English economy as British Telecom and British Coal have been sold); 2) tax rates for individuals and legal entities have been reduced; 3) deregulation of the economy was carried out (with a simultaneous reduction in government spending); 4) some tightening of the social security system has been carried out.

The coming to power of M. Thatcher in 1979 played a huge role for Great Britain. Economic deregulation became an important direction in the policy of increasing the competitiveness of the British economy and ensuring economic growth. In the 80-90s, many administrative and legal restrictions on business activities were lifted and regulatory procedures were simplified. Controls over wages, prices and dividends were abolished, and the labor market was significantly deregulated. Certificates for industrial construction, which served as an administrative instrument of regional policy, were eliminated. R&D regulation was weakened. The policy of deregulation covered the banking, credit and foreign exchange sectors. In 1979, exchange controls were eliminated, which restrained the movement of capital between Great Britain and other countries.

As a result of neoliberal reforms in Great Britain, the leadership of this country in the person of Margaret Thatcher managed to achieve impressive successes. After the stagnation of the late 70s of the XX century. a few years after the start of the reforms, the economic situation in the country began to improve: economic growth accelerated, unemployment decreased, and the state budget deficit decreased. However, unemployment in the UK is still at a lower level than the EU average. The effect of so-called demunicipalization is also interesting from a social point of view. In an effort to involve the main categories of the working class and the “new middle strata” in property ownership, the government in the 1980s carried out the sale of municipal housing stock for private use, and at preferential prices sanctioned by the center. As a result, during the 80s and early 90s, over 1.2 million British families were able to buy the houses in which they lived and become their owners. In total, thanks to this and other measures, 70% of the 20 million British families own their own home. It is no coincidence that M. Thatcher's popularity has increased sharply.

M. Thatcher could lead the country's government in the current conditions. 27% of Britons think so, experts who conducted a survey for The Daily Telegraph found out. M. Thatcher is recognized as the best British Prime Minister since the Second World War (1979-1990). This opinion is shared by 34% of Britons. Winston Churchill (1951 - 1955) received 15% of the vote. Another 18% found it difficult to answer.

UK economic problems

In recent years, the influx of labor into the UK has intensified significantly. Sometimes this gives rise to interethnic clashes. There are 700 madrassas in Britain, where, by analogy with Christian Sunday schools, about 100 thousand children study in regular schools after classes. EU enlargement has also led to a significant increase in white immigration.

Population growth rates throughout the country were also uneven. In England, where more than 80% of the citizens of the United Kingdom live, the population growth rate in 1991-2003 was. exceeded 4%, but while in London this figure was above 8%, the number of residents in the north-east of the region fell by 1.8%. In Wales, the population grew by 2.3%, reaching about 3 million people, in Northern Ireland - by 5.9% (1.7 million), and in Scotland it decreased by 0.5% (more than 5 million). At the same time, due to internal migration, the only British region losing population was England, and among urban centers the greatest depopulation was observed in London, from which 100 thousand more people left in 2002 than entered the capital.

Low labor productivity in industry, somewhat lower than in France and Germany.

However, the UK's most pressing current challenge for 2009 is overcoming the downturn caused by the current global economic and financial crisis. Reducing the refinancing rate and the government purchasing illiquid assets have not yet produced the expected results.

Among the achievements of recent years in the UK are the improvement of conditions for doing small business, the streamlining of the system of social benefits, the ever-increasing level of tolerance in society (same-sex partnerships are allowed, issues are relatively favorable national relations), the level of democracy and protection of human rights in the UK, which can be a model not only for Russia, but also for a number of EU countries.

Foreign economic relations of Great Britain

Great Britain's foreign trade has a negative balance.

Exports in 2008 amounted to $464.9 billion, imports - $636 billion, which resulted in a significant deficit of $171 billion.

Due to the sharp rise in oil prices at the end of the 20th century. and the development of North Sea oil fields, the share of semi-finished products in UK commodity exports reached 86% by 1999, compared to 70% in the 80s of the 20th century. In the same year, machinery and vehicles accounted for 48% of exports. Over the past five years, the importance of aerospace, chemicals and electronics products has increased in UK exports, while at the same time the share of textiles has decreased.

According to the International Trade Centre, in recent years the UK has been a major supplier of aircraft equipment, turbojet engines, navigation equipment, as well as art, alcoholic beverages, books and diamonds on the world market.

Export geography: EU countries - 56% (Germany - 12%, France - 10%, Netherlands - 8%), USA - 12%.

Imports consisted of industrial goods (about 50% of imports), engineering products, and food.

Import geography: EU countries - 53% (Germany - 14%, France - 10%, Netherlands - 7%, Ireland - 5%), USA - 13%.

The involvement of British electronic computer technology in the international turnover is very high; about 90% of the products of this industry are exported abroad. Over 70% of export industry products, more than half of instrument-making products, are exported. Among the branches of general engineering with a very high export orientation are tractor manufacturing, the production of textiles and mining equipment. Great Britain ranks among the first in arms exports.

Shifts in the export structure of foreign trade were accompanied by changes in its geographical direction. In recent decades, the “Europeanization” of UK foreign trade relations has been taking place. That is, the share of Western Europe in British exports reached 63% in 2005 compared to 48% in 1999. This fact is confirmed by the comparative characteristics of mutual trade in goods in Europe.

Despite the fact that the UK population is only 1% of the world's population, the United Kingdom ranks 4th in the world in terms of trade. Engineering and transport, industrial goods and chemicals are the UK's main exports. Since the 1970s, oil production has not only reduced imports of petroleum products, but has also generated significant trade profits. British Petrolium is the largest industrial corporation in the UK and ranks second in Europe.

Britain carries out 10% of world exports of services - banking, insurance, brokerage, consulting, as well as in the field of computer programming.

The UK imports 6 times more manufactured goods than raw materials. The UK's most significant exporter is the USA. Seven of the top ten suppliers of goods to the UK are from EU countries. The leading sector of the British economy is the services sector (74% of GDP), the growth rate of which in 2006 was . (3.6%) exceeded the GDP growth rate as a whole (2.8%). The leading position in it is occupied by its financial component (27.7% of GDP), which determines the country’s specialization in the system of international economic relations. In transport (7.8% of GDP) growth was 2.9%. The second most important sector of the British economy is industry (18.6% of GDP, a decrease in output in 2006 by 0.1%) and is represented by two sub-sectors: mining (2.2% of GDP, a decrease of 9.2%) and manufacturing industry (14.7% of GDP, an increase of 1.4%). Agriculture, which satisfies about two-thirds of domestic food needs, accounts for only 1% of GDP (production volume decreased by 1.8%), construction (6.1%, growth by 1.1%).

UK industry

Industry plays a leading role in the country's economy (almost a third of GDP). It creates 26.5% of GDP and 84% of the country's exports. It employs about 18% of the economically active population. Leading industries: mechanical engineering (share in total industrial production - 25%), chemical and pharmaceutical (10%), mining (10%), food and tobacco (10%), metallurgical (9%).

Annual production volumes of the most important types of products: oil - 138.2 million tons, natural gas - 108.5 million tons (oil equivalent), coal - 21.9 million tons (oil equivalent), electricity - 345.3 billion kWh, cars - 1.79 million units (1.14 million units exported), aerospace products - 37.4 billion dollars. ($16.5 billion exported), electronics products – $133.8 billion. ($67.1 billion exported).

Over the past decade, the industry has undergone significant structural changes. The main industrial sectors were chemical, aerospace, electronic, electrical, automotive, clothing, footwear and food, and in such industries as chemistry and petrochemicals, instrument making, transport (rail, air, pipeline), oil and gas production, light industry, Great Britain occupies a leading position in the world. Production volumes in the manufacturing industry grew at a relatively high rate due to the rapid development of the chemical and oil refining industries and mechanical engineering. Thus, the growth rate of production volumes in the chemical industry amounted to 104.6%, in mechanical engineering – 104.1%.

UK statistics
(as of 2012)

In the context of a slowdown in global economic activity, the physical volume of industrial production in the first half of 2001 (compared to the same period in 2000) decreased by 0.5% (in 2000, against the backdrop of a favorable global economic situation, the growth rate was 1.6% ). Production volumes decreased in the textile, clothing and leather industries (by 10.5%), as well as in the mining industry (by 6.5%), which was primarily due to a sharp reduction in oil and gas production (by 7 ,1%).

The decline in production volumes in the manufacturing industry amounted to 0.1%. At the same time, production volumes increased in the chemical industry and general mechanical engineering, and decreased in transport and electrical engineering, and metallurgy.

Since 2000, there has been a downward trend in profitability in the manufacturing industry. In conditions of fierce price competition and rising costs for raw materials and energy resources, British commodity producers are forced to restrain the rise in prices for finished products. Thus, in the first half of 2001, compared to the same period of the previous year, costs for fuel and raw materials increased by 4.7%, and the increase in prices for finished products was 1%.

The energy sector of the country's economy accounts for 5% of GDP. The UK electric power industry in the last decade has been characterized by a transition from the use of traditional energy sources (coal, oil) to natural gas used in combined cycle gas turbine units. Currently, there are about 20 such power plants in operation in the country, producing 28% of all electricity. The efficiency of plants of this type is 70% and is almost 2 times higher than that for traditional power plants. The share of electricity generated at nuclear power plants remains significant – 27.3%. The UK government's plans provide for a gradual reduction in the share of nuclear power plants in electricity production by 2005 to 18.5% and by 2010 to 13.1%.

The UK has a developed oil and gas complex, which was created mainly due to the development of large oil and gas fields on the British part of the North Sea shelf. According to the latest data, the UK has proven oil reserves of 1.39 billion tons and gas reserves of 0.76 to 1.4 trillion cubic meters. Since the beginning of the 90s. It is one of the top ten largest oil and gas producing countries in the world and fully satisfies its energy needs through its own production.

More than 80 gas fields with proven reserves of 2 trillion have been discovered in the British North Sea. m? and recoverable - 0.8 trillion. m?. Gas production from them began in the mid-60s; now 37 fields are in operation, 7 fields account for 1/2 of the production, among them Leman Bank, Brent, Morekham. Production volume for 1990–2003 increased to 103 billion m?. Foreign gas trade is insignificant; in 2003, its exports amounted to 15, and imports - 8 billion m?. Through a gas pipeline laid at the bottom of the North Sea, gas reaches the east coast of the island of Great Britain in the area of Easington and Yorkshire.

UK electricity industry

A major achievement of the British economy is that the entire manufacturing and consumer sector is fully supplied with electricity. 86% of electricity is produced by thermal power plants, 12% by nuclear power plants and 2% by hydroelectric power plants. The overwhelming number of thermal power plants operate on coal, but in recent years some of them have switched to oil. The largest thermal power plants (with a capacity of more than 1 million kW) are located on the Trent River and near London. Hydro stations are generally small and are located mainly in the Scottish Highlands.

UK Transport

The territory of Great Britain is covered by a dense network of railways and roads. Despite a reduction in the tonnage of the British merchant fleet over the last decade (by almost 33%), maritime transport now accounts for about 95% (by weight) and 75% (by value) of the transport of foreign trade goods in the UK. Railroad transport is one of the oldest modes of transport, with an average annual transport volume of over 650 thousand ton-kilometers.

The country is a major air carrier (140 airports). Air transportation, primarily passenger transportation, is an important area in the transport policy of the country’s government. In June 1998, a decision was made to open almost all British civil airports to foreign airlines whose countries have entered into relevant bilateral agreements. The country's largest air carrier is British Airways, which employs about 60 thousand employees.

Road transport in the UK plays a major role in domestic transport. The annual volume of cargo turnover exceeds 650 thousand ton-kilometers.

UK Agriculture

The UK ranks sixth among EU member states in terms of agricultural production. On average, per full-time employee, products worth 25.7 thousand euros are produced here (in gross terms). Agricultural land in Great Britain amounts to 18.5 million hectares, which is about 77% of the country's territory. The overall dynamics of the development of UK agriculture in 2006 in terms of the cost of production of the main types of agricultural products in market prices had the following indicators: wheat production increased by 16% and amounted to 1.2 billion pounds sterling; barley - by 9.8% to 412 million pounds sterling; rapeseed for production vegetable oil- by 17% to 307 million pounds sterling; sugar beets decreased by 37% to 168 million pounds sterling; fresh vegetables increased by 9.1% and reached £986 million; plants and flowers decreased by 4.4% to £744 million; potatoes increased by 24% to £625 million; fresh fruit decreased by 1.2% to £377 million; pork increased by 1.3% to 687 million pounds sterling; beef - by 13% to 1.6 billion pounds; lamb - by 2.7% to 702 million pounds; poultry meat - by 1% to 1.3 million pounds sterling; milk decreased by 3.6% to 2.5 million pounds; eggs increased by 2.0% to £357 million.

UK agriculture is currently one of the most productive and mechanized in the world. The industry's employment share is 2% of total employment in the country. The total area of agricultural land is 58.3 million hectares (76% of all land in the country). The structure of agricultural production is dominated by livestock farming. Dairy and meat and dairy cattle breeding, pig breeding (bacon fattening), meat sheep breeding and poultry farming are also developed. England is one of the world's largest suppliers of sheep wool. Traditionally, livestock farming is concentrated in river basins. In crop production, almost 60% of arable land is occupied by perennial grasses, over 28% by grain crops (including 15% by wheat, 11% by barley); 12% - under industrial (rapeseed, sugar beets, flax) and fodder crops (including potatoes), as well as vegetable gardens and berry fields. The main agricultural regions are East Anglia and the South East. There are many orchards in the country. Agriculture enjoys great support from the state and receives subsidies from the EU budget. For products such as wheat, barley, oats and pork, production volumes exceed consumption volumes; for such as potatoes, beef, lamb, wool, sugar and eggs, production volume is lower than consumption volume.

Thus, many of the UK's essential products have to be imported from other countries. They import 4/5 butter, 2/3 of sugar, half of wheat and bacon, 1/4 of the beef and veal consumed in the country.

Great Britain in the system of international economic relations

The UK (population less than 1% of the world as a whole) retains an important role in the global economy. The country is one of the five most developed countries in the world and produces about 3% (2000 - 3.2%) of global GDP (at purchasing power parity of the national currency). In the export of goods and services, its share is 4.6% (2000 - 5.2%), in their import - 5.1% (5.6%). At the same time, there is a reduction in the country’s share in world trade. The macroeconomic situation in the UK has remained stable over the past decade. Real GDP growth per capita was on average higher than in other G7 countries, unemployment and inflation were lower.

In 2006, UK GDP growth increased to 2.8%, which corresponds to the level of economic growth in the G7 countries. At the same time, the inflation rate in the UK was lower (2.3% versus 2.5%). Since the 2001/2002 financial year in the UK, the situation with the size of the government budget deficit has worsened, and in the 2004/2005 financial year its value reached 3.3% of GDP. However, in the 2006/2007 financial year, this figure dropped to 2.8% of GDP. The country continues to maintain a dominant position in the global financial services market. The UK is home to three-fifths of global trading in international bonds (1st place in the world, primary market), two-fifths of foreign assets (1st place) and derivatives (1st place, so-called “over-the-counter trading”) , a little less than a third foreign exchange transactions(2nd place after the USA), a fifth of international borrowing is carried out (1st place). The UK accounts for two-fifths of the global aviation insurance market (1st place) and one-fifth of the marine insurance market (2nd place). London is also a leader in wealth management for the world's wealthy.

The most important commodity and stock exchanges in the world are located in the UK: London Stock Exchange, London Metal Exchange, International Petroleum Exchange, Baltic Exchange (marine trading).

Great Britain is a member of the UN, a permanent member of its Security Council (the country's total UN payments are equal to 0.4 billion dollars), NATO, the G8, the British Commonwealth (a voluntary association of Great Britain and 53 other states that were previously ruled by UK), Organization for Security and Cooperation in Europe. Great Britain is one of the leading members of the European Union (joined in 1973). The UK is a member of the Organization for Economic Cooperation and Development, the World Trade Organization, the International Monetary Fund and the World Bank, as well as a number of regional banks for reconstruction and development (African, European, Caribbean, Latin American, Asian), the European Investment Bank, the Paris and London Clubs -creditors. It plays a key role in various collective decisions within these international economic and financial organizations and agreements. The UK actively participates in the Financial Action Task Force on Money Laundering (FATF), the G20 or the Egmont Group of Financial Intelligence Units, which has 58 member states.

Attaching great importance to the fight against climate change, the British government has developed measures to protect the environment, which include: - supporting the development of alternative energy sources, as well as the implementation of measures to dispose of harmful emissions; - development of energy-saving technologies, incl. by introducing the Green Landlord Scheme and creating the Carbon Trust fund to provide interest-free loans to national companies for the implementation of these technologies; - providing benefits to enterprises introducing technologies based on “clean” fuel.

Despite the small territory of England, its economic and industrial development has a significant impact on the situation not only in Europe, but throughout the world. The industry of England accounts for 30% of the total GDP; it is mainly focused on exporting its products.

Prerequisites for the industrial revolution in England

The agricultural revolution of the 15th-16th centuries is the main prerequisite for the industrial revolution, which took place in England. After its implementation, highly commercial agriculture is developing rapidly, which is developed on a farmer basis. English farmers are actively farming, constantly improving agriculture and agricultural technology. Crop rotation and grass seeding are spreading. Steam plows, drainage works, steam engines are widely used, and mineral fertilizers are actively used.

Agrarian transformations led to the release of a large number of people and formed a reserve of a single national market, stimulating the development of economic activity. The foreign economic prerequisites for the development of the industrial revolution in England were the reckless robberies of the colonies.

England at the end of the 18th century turned into a large colonial and maritime world state. Huge profits, which were ensured by dominance in world trade, the use of the wealth of North America, India and other colonial possessions, were fully invested in the industry of England.

Note 1

The geographical location of Great Britain, as well as the natural and economic conditions of England - convenient harbors, water communications, large deposits of coal and iron ore and the availability of mineral raw materials for the textile industry - were extremely favorable for the industrial revolution.

External economic conditions of the industrial revolution and development of England

The constant and stable demand of Europe for English products, which was caused by the ongoing wars, provided it with a sales market and also influenced the emergence of the industrial revolution. An important role in this was played by the policies of mercantilism and protectionism, which were implemented by the British government.

Note 2

The key factor in the industrial revolution was the achievement of a high-quality and technically new level of the cotton industry, which was ensured by the gradual introduction of new mechanisms and machines into industrial production.

Weaving processes have been slightly behind mechanized spinning for some time. However, this discrepancy was soon eliminated by the development and introduction of a new loom by E. Cartwright, which was invented in 1785. It replaced the work of 45 weavers. This is how the first machines and factories appeared in English industry. In the 80s XVIII this equipment also appeared in other branches of English industry.

In the history of industrial development in England, the invention of the Scottish mechanic James Watt, who invented the steam engine in 1769, is of epochal importance. Watt improved it in 1782, and since that time the steam engine has been the main source of energy for the textile industry in England.

Thanks to this invention, coal became widely used as the main fuel. Dependence on the water engine was eliminated, and new regions of the country were opened to industry. Soon after the opening of steam engine factories, they began to be actively used in various industries.

Richard Arkwright created the world's first weaving machine in 1771, and in 1785 Cort invented a method for producing pure iron. During this period, coal mining for industrial purposes was actively developing. As a result of the transition from manufacturing to factory production in the 60s. The 18th century created optimal and favorable conditions for the start of the industrial revolution. Large capital, free labor and the presence of the internal market became a good basis for this.

The use of machines significantly accelerated the development of the coal industry and metallurgy. Mechanical engineering was formed, which was based on the widespread use of a lathe and a drilling machine. The growth of production and industry in England led to the emergence of new vehicles. The presence of the steam engine made it possible to use it in maritime and railway transport.

In 1812, a steamship was launched for the first time in England, and at the same time experiments on the railway began. R. Trevtik and J. Stephenson built several models of steam carriages and a self-propelled steam power plant, which was invented on the basis of the steam engine. In 1831, a railway was built that connected Liverpool and Manchester; it was of great economic importance. The construction of the railway caused fundamental changes in the English economy, creating stable communications between various industries and regions of the country.

Industrial translation radically changed the economic geography of England. New industrial regions were formed that specialized in specific types of products. Industrial production volumes have grown rapidly. England in the mid-19th century transformed into the world's "workshop", which produced about half of the world's industrial output. It has taken a major place in international politics and the world economy.

England's industrial and commercial hegemony was provoked by the country's economic policy. When industrialization was not yet completed, the country was dominated by customs duties on foreign goods.

Definition 1

When English industry became stronger and ceased to be afraid of foreign competition, it proclaimed unlimited opportunities for trade - free trade.

Its essence was a complete exemption from duty on all products imported into England. Free trade was designed for:

counter cancellation of duties;
a significant reduction in duties on the export of British goods to other countries.

Thanks to this, England was provided with free sales of its products abroad, as well as cheap imported raw materials and food. The development of machine production gave England the impetus to form the social structure of an industrial society. The industrial proletariat made up almost 50% of the employed working population. Urbanization transformed England into a country of cities and factory settlements. At the end of the 19th century, almost 70% of the population lived in cities.

Modern industry in England

Today in England the following industries are most developed:

Oil industry. England produces oil from its own sources and processes raw materials from other countries. It is one of the top ten oil-producing countries in the world. The most famous oil fields in England are Fortis and Brent. There are currently 9 specialized oil refining plants operating in the country.
Minerals. More than 85 gas fields have been discovered in England, the production of which began in the 60s. last century. The extracted gas is sold on the domestic English market.
Metallurgy. Deposits of iron ore, coal and limestone allow England to be in 8th place in the world ranking for steel and iron smelting. Non-ferrous metallurgy is considered the most developed throughout Europe, despite the fact that the country operates at the expense of foreign raw materials.
Mechanical engineering. This industry is the most extensive in England. The first place belongs to transport engineering. For example, JCB is a leader in the production of construction equipment. England also occupies a leading position in the supply of trucks, selling products to the markets of Iran, the USA, New Zealand and South Africa. I also produce passenger cars in the country - Rolls-Royce, Bentley, Land Rover. Recently, the production of machine tools has increased, thanks to which England has risen to 6th place in the world ranking of this industry.
Electric power industry. A properly constructed economic system allows consumers and large industries not to lack electricity. Many thermal power plants in England run on coal, but recently petroleum products have begun to be used.
Chemical industry. The basis of this industry is oil and gas products, so the range of products produced is strictly limited. These include pharmaceuticals, plastics, which are used in electronics and aircraft rocket production, as well as chemicals for agriculture and the land industry.
Textile industry. This direction is considered traditional for England: the production of wool, silk, and cotton fabrics is famous for its high-quality products all over the world.
Manufacturing industry. A significant part of the capacity is allocated to the printing and food industries. In recent decades, food products have been the most popular products for export. That's why the whole world knows about whiskey, English tea and tobacco.

Despite the successful conduct of industrial activities, England continues to actively develop. With the emergence of new industries and automation of production, the country's economic indicators are growing rapidly. If you believe the forecasts of experts, in the future British goods will occupy the first positions in world rankings not only by quantitative assessment, but also by qualitative criteria. It is quality that is a traditional feature of the national mentality of England.