Filippo Gaddo, SPE Councillor, held a discussion with Tera Allas, Director of Research and Economics at McKinsey where she leads research on the macroeconomic outlook, growth, and productivity. Tera is also very active on social media and can be found frequently posting data and analysis at: https://www.linkedin.com/in/teraallas/

Tera starts the conversation describing her career outlining the differences - and similarities - of working in the public and private sector. Filippo and Tera then quickly pivot to the issue of productivity and the current status of the UK economy. It seems that both Tera and Filippo can't get 'productivity out of their heads' - it is indeed the most important factor that determines the future of a country's economic growth. In the discussion comparisons are drawn between the UK and the US and what may be behind the gap between the two countries: attitude to risk, level of investment, regulation all come back as key contributors. The topic of AI is also covered and in the end Tear and Filippo are somewhat optimistic about the future of productivity though with a lot of caution and pointing to potential pitfalls to avoid. It is a very data driven, rich conversation that both macro- and micro-economists will enjoy!

Tera is Director of Research and Economics in McKinsey’s United Kingdom and Ireland office. She leads McKinsey’s research on the macroeconomic outlook, growth, and productivity, bringing together deep expertise and more than three decades of experience in strategy, corporate finance, economics, and public policy. Tera serves as the chair of Pro Bono Economics and The Productivity Institute’s Advisory Committee, as a trustee of the Productivity Leadership Group (Be the Business), and as a governor of the National Institute of Economic and Social Research.

Tera holds an Honorary Professorship at the Alliance Manchester Business School and is a Fellow of the Academy of Social Sciences and a Fellow of the Royal Society for the Encouragement of Arts, Manufactures and Commerce. Tera was previously on the board of Innovate UK, the United Kingdom’s national innovation agency. From 2004 to 2014, she worked as chief economist in the UK’s energy, transport and business departments and as deputy head of the UK Government Economic Service.

Tera was appointed Commander of the Order of the British Empire (CBE) for services to economic policy in the New Year Honours list 2019.