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Why is the UK lagging behind the G7—and miles behind China—when it comes to capital investment? 📉 In this video, we unpack the UK's persistent investment gap, with investment making up just 17.9% of GDP in 2024, compared to China’s 41%. From Brexit uncertainty to austerity-era underinvestment, we explore the key factors holding back UK businesses and infrastructure—and why it all matters for productivity, innovation, and long-run economic growth. We also take a look at current UK government policies, including the National Wealth Fund, planning reforms, and increased infrastructure spending. Whether you're preparing for AQA, Edexcel, OCR, WJEC, CCEA, or IB Economics exams, this breakdown will boost your understanding of macroeconomic policy, capital formation, and long-term growth challenges. 👍 Don’t forget to like, subscribe to the Tutor2u Economics channel, and click the bell 🔔 so you never miss a new video! 📚 Perfect for: A-Level Economics students IB Economics students Economics teachers and tutors Anyone interested in UK macroeconomic performance 📌 Hashtags: #exams2025 #examsuccess #economics #economicssuccess #ukeconomy #topgrades #microeconomics #tutor2u #EconTeachers #AQAeconomics #EdexcelEconomics #OCR #WJEC #CCEA #IBEconomics #InvestmentGap #CapitalFormation #ProductivityGrowth #InfrastructureSpending #R&D #Macroeconomics #BrexitEconomics #FiscalPolicy #PolicyUncertainty #UKGrowth