A major review into the way government measures productivity has called for the creation of a principled framework to monitor public service delivery.

In a complex report, Sir Tony Atkinson warns that the government cannot assume that "outputs equal inputs in such a major part of the economy".

In health, the report calls for better measures for primary care and assessment's based on "whole treatment" criteria.

Schools should be measured on the basis of pupil attendance and not pupil numbers, says the study.

Better measurement of developments in the criminal justice system is also needed.

"Many of our recommendations set out a clear process for documentation, expert review and transparency, so that development work is made public and the limits of official measures are clearly understood," Sir Tony said on Monday.

The report warns that the method of measuring government output can make a "considerable difference" to the recorded growth rate of the economy.

"We want senior officials to understand the importance for the National Accounts of accurate measures of public spending," added Sir Tony.

He went on to say there is an "intrinsic case based on public accountability" for seeking to measure what is achieved by spending on public services.

"We cannot simply assume that outputs equal inputs in such a major part of the economy," he added.

"To fail to measure the output would be to miss the essential complementarity between public services and private economic growth."