Working from home means official government stats are too flawed for economic forecasting

A new independent review has sharply criticised the Office for National Statistics (ONS), warning that widespread working from home is undermining the quality of UK economic dataA new independent review has sharply criticised the Office for National Statistics (ONS), warning that widespread working from home is undermining the quality of UK economic data, according to a report in The Daily Telegraph. The review, led by Sir Robert Devereux, a former senior civil servant, highlights how current working practices are weakening the agency’s ability to deliver accurate and timely statistics. Despite mounting concerns, many ONS staff continue to work from home full-time, with internal resistance to returning to office-based routines.

At present, ONS employees can work remotely five days a week. However, management proposals to require office attendance for at least two days have triggered threats of strike action from unions, which argue that working from home has not affected output. Sir Robert disputes this, stating that core functions are suffering and that delays in resolving the issue are compounding the agency’s difficulties.

“The return to working in the office, post pandemic, was not handled well,” he wrote. “This needs to be resolved quickly… teams spending time together in one place brings benefits.”

The consequences are already visible. Key labour market data and inflation figures have become less reliable, limiting the Bank of England’s ability to assess economic conditions and set interest rates. Recent failings include errors in consumer price inflation figures and the suspension of the producer price index since February. Low response rates to surveys are also eroding the reliability of unemployment and inactivity estimates.

In response, Bank of England officials have increasingly turned to private sector data and their own surveys for guidance.

Sir Robert also criticised the ONS for focusing too heavily on new methods and innovations without maintaining its foundational responsibilities. “This has had the unintended effect of de-prioritising the crucial task of delivering core economic statistics of sufficient quality,” he said.

The review found organisational shortcomings in planning, risk management and responsiveness to critical feedback. It also noted difficulties in recruiting and retaining skilled analysts, due in part to below-average pay and office locations outside major cities.

Grant Fitzner, the ONS’s acting director general for economic statistics, acknowledged the findings and promised a cultural shift. He said the agency would refocus on core outputs, expand digital survey methods, and invest more in face-to-face data collection to improve response rates.