The Scottish economy is set for further growth in 2015 but at a smaller rate than the 2014 level.
According to a survey carried out by the Bank of Scotland, November saw the smallest economic growth in 2014, with the trend expected to continue into 2015, with the survey finding the private sector in Scotland to have one of the slowest growth rates in the UK.
Despite the smaller growth in November, employment continued to grow in Scotland with BDO’s employment index showing yet another rise in employment for the 15th consecutive month, up considerably from the same time in 2013. Partner and head of BDO in Scotland, Martin Gill, said: “Businesses are successfully weathering the storm and are on course to enter 2015 on the front foot, sustained by solid and continued growth.
Predicted 2% Growth for 2015
A report from the Ernest & Young ITEM Club forecasted further improvement in the Scottish economy for the next year, with the report predicting a growth of 2% in 2015, an increase, albeit, smaller than the 2.8% growth of 2014. The expected increase, is lower than the overall UK forecast with an economic growth of 2.4%
Despite the positive forecast, the ITEM club warned that political stability was needed ahead of the EU referendum to ensure consistent economic growth.
Political Stability Needed
ITEM economic advisor Dougie Adams said: “Political stability and predictability has long been one of the UK’s comparative advantages, particularly in the attraction of foreign investment.
“Political prickliness might yet puncture the investment swell factor into the forecast, undermining continued recovery in Scotland and the UK.”
Contact Us
If you require financial legal advice or representation regarding employment, contact us today
