Output data – Cornwall and the Isles of Scilly, location quotients

The Office for National Statistics released data for both Gross Domestic Product (GDP) and Gross Value Added (GVA) on September 23rd.  The data set covers the years 1998 to 2024.  GDP and GVA are measures showing the value of output in an economy.  GVA data is available for Cornwall and the Isles of Scilly. The data used is the ‘chained volume measure’ where values are in real terms as opposed to nominal and are expressed in 2023 prices. 

 

One way of looking at the data is to use location quotients.  These compare the share of a sector in a region with the national figure.

 

What do the figures tell us?

Compared to the England average, certain sectors in Cornwall are over-represented namely Agriculture, forestry & fishing (9.2), Mining & quarrying (3.8) and Accommodation & food services (2.3).  In contrast some sectors are under-represented - Financial & insurance activities (0.2), Information & communication (0.4), Professional, scientific & technical activities (0.5). 

 

Turning to sub-sectors the over-represented ones were: Agriculture and hunting (9.3), Forestry and fishing (8.5), Libraries, archives, museums and other cultural activities (5.2).  The under-represented ones were: Financial service activities (0.1), Manufacture of transport equipment (0.1), Manufacture of petroleum, chemicals and pharmaceuticals (0.1), Manufacture of motor vehicles (0.1). 

 

In themselves higher or lower location quotients are neither good or bad they illustrate the importance of a sector to an area.  That Cornwall is different to England reflects the characteristics of the local economy.

 

 

	England	Cornwall
Sector	%	%	LQ
Agriculture, forestry & fishing	0.6	5.8	9.2
Mining & quarrying	0.1	0.5	3.8
Accommodation & food services	3.1	7.2	2.3
Public administration & defence	5.3	8.4	1.6
Construction	6.7	10.0	1.5
Real estate activities, ex imputed rental	4.2	5.9	1.4
Water supply; sewerage & waste management	1.3	1.8	1.4
Human health & social work	9.1	12.2	1.3
Arts, entertainment & recreation	1.5	1.9	1.2
Wholesale & retail trade; repair of motor vehicles	11.2	12.0	1.1
Other services	1.7	1.8	1.0
Education	6.5	6.2	1.0
Activities of households	0.1	0.1	0.9
Manufacturing	9.8	8.2	0.8
Electricity, gas, steam & air conditioning supply	1.9	1.6	0.8
Transportation & storage	4.0	2.9	0.7
Administrative & support services	6.0	4.2	0.7
Professional, scientific & technical activities	10.3	5.1	0.5
Information & communication	7.5	2.7	0.4
Financial & insurance activities	9.1	1.6	0.2

 

 

 

Notes

The main analysis technique used is the calculation of location quotients. Location quotients are used to assess both the industrial specialisation of local areas and the geographical concentration of industries.

 

In the context of geographical concentration, a location quotient of 1.0 indicates that the local share of total employee jobs in an industry is equal to the local share of total employee jobs relative to Great Britain. A location quotient greater than 1.0 indicates a relative concentration of the industry in the geographic area while a location quotient of less than 1.0 indicates there is not a relative concentration of that industry in the area.   [ONS].

 

[NB Real Estate data used excluded owner-occupier imputed rental as this is not actual output].

 

 

Sources

Office for National Statistics (ONS), released 23 September 2026, ONS website, statistical bulletin, Regional economic activity by gross domestic product, UK: 1998 to 2024. Regional gross value added (balanced) by industry: all International Territorial Level (ITL) regions.  Table 2b: ITL2 chained volume measures in 2023 money value, pounds million.

 

Office for National Statistics,The spatial distribution of industries in Great Britain: 2015.

 

Regional and local industrial specialisms and the spatial distribution of industries in Great Britain.  28 March 2017.