England's economy is one of the largest and most dynamic in the world, constituting the vast majority of the UK's total Gross Domestic Product (GDP). It is a highly developed social market economy characterized by a dominant service sector, which accounts for around 80% of economic output.
London is the economic engine of the country, acting as a global apex center for finance, banking, insurance, and professional services. Other major economic hubs include the Northern Powerhouse cities (Manchester, Leeds, Sheffield, Liverpool) and the Midlands Engine (Birmingham, Nottingham).
While the national median income is robust, the cost of living varies drastically. London and the South East are highly expensive, driving up national averages for housing and living costs, whereas northern regions tend to be more affordable. England faces ongoing economic challenges, including addressing regional inequality, navigating trade adjustments post-Brexit, and transitioning to a net-zero carbon economy by 2050.