The UK ranks sixth in the world in terms of its number of Facebook users. Facebook use is widespread across genders and age groups, and approximately 70 per cent of UK citizens have a Facebook account, spending on average 2.5 hours a day using this social network. The total number of active users has been steadily growing and is expected to reach 37.7 million by the end of 2017 and more than 41 million by 2021.

This popular platform is able to generate more than just social interaction, but also economic activity by reducing barriers to commerce and networking activities. However, there is a downside to Facebook use, which is often quantified in terms of productivity losses. So what is the real cost of such large-scale use of this social media platform? This article looks at various types of data to assess the economic impact of Facebook use in the United Kingdom.

Facebook Use and Workplace Productivity

In 2015, a Deloitte study evaluated the economic impact of Facebook use at global level. Researchers found in the UK, Facebook generated $11 billion (nearly £9 billion) and created 154,000 new jobs in areas like marketing, software development, and e-commerce. However, these figures were offset by other statistics that point at the negative impact of social network use. This impact is often quantified by looking at the time spent on social media platforms during what otherwise would be working hours.

Productivity decreases were reported as far back as 2007, three years after the social network was founded. In autumn 2007, the BBC reported on a survey carried out by an employment law firm, which interviewed more than 3,500 British firms and concluded that Facebook use in the workplace resulted in 233 million hours of work lost every month. Read more »