The additional economic impact of London & Partners is defined as the extra benefits generated as a direct result of our intervention, compared to what would have happened without our work.
Measurement of this additional economic value, "gross value added" (GVA), is calculated mainly by surveying a representative sample of our audiences.
How is London & Partners' impact measured?
What is gross value added (GVA)?
- GVA is the economic added value created when producing goods or providing services.
- It is the difference between the price paid for a good or service and the cost of inputs used in its production.
- GVA measures profits and wages of London-based businesses and London’s employees. By measuring our impact on increasing GVA, we are reporting our economic contribution to London.
What are our performance indicators?
- We measure the economic benefits to the city with GVA and jobs retained.
- Economic impact figures are expressed in terms of GVA (economic wealth), unless stated otherwise.
- We also estimate additional leisure tourists, business delegates, major event-goers and additional sales made by London's small and medium-sized enterprises (SMEs) that have been part of our programmes.
Jobs created and supported
- By attracting foreign direct investment in key sectors for London, we generate new, high-value jobs for the London economy.
- We also create new and safeguard existing jobs in London by attracting the spend of tourists, business delegates and major event spectators.
- We cannot track these jobs directly, but we use a robust model to estimate the number of jobs that our promotional activities support.
What is our evaluation methodology
The Evaluation Methodology 2021 report outlines the work undertaken by London & Partners and GLA Economics to evaluate impact across our five major business areas: foreign direct investment, business tourism, major events, the Mayor's International Business Programme and the Business Growth Programme.
Read the Evaluation Methodology 2021 [PDF 5.83 MB] report for full information about how we measure our impact.
The evaluation of our impact on the London economy captures only the additional benefits that happen as a result of our interventions. This is ensured by taking account of factors such as over-optimism and displacement.Jakob Oddershede
Senior Economist, London & Partners