Scottish economy records longest growth in its 11th quarterStaff writer ▼ | August 25, 2015
The Scottish economy saw its 11th quarter of expansion at the start of 2015 with growth across all main sectors of the economy, the latest state of the economy report showed.
United Kingdom The latest state of the economy report showed:
The growth was broad-based, although construction stood out with very strong growth, underpinned by public investment, including in infrastructure and housing, said the report.
With employment at or around record levels, the pace of jobs growth is likely to ease, paving the way for a pick-up in productivity growth and real wages, it added.
These economic growth trends are hand in hand with other factors, such as rising house prices, growing consumer confidence and low inflation, to boost household incomes and spending, which have been positive for the economy, said the report.
However, both internal and external challenges remain, including further tightening of budgets by the British government, the impact of low oil prices on oil and gas sector profitability and investment, and subdued demand in global export markets alongside the strength of the pound.
The Scottish economy is predicted to grow by around 2.4 percent in 2015, as data and forecasts point to a positive outlook for the rest of the year. ■