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22/10/2008

Scottish Economy Weathers Global Uncertainty

New GDP figures show that the Scottish economy continued to grow in the second quarter of 2008, despite uncertainty in the global economy.

Announced by Scotland's Chief Statistician, the figures for April to June 2008 show Scottish GDP increased by 0.1 per cent, and by 1.8 per cent over the year. However, during the same period UK GDP remained at 0.0 per cent.

Commenting on the figures, Finance Secretary John Swinney said: "These figures show that Scotland's economy, during huge global uncertainty earlier this year, was still growing, and at a marginally greater rate than the UK."
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However, he acknowledged: "Growth is clearly slowing, which is concerning and undoubtedly reflects the impact of the global downturn on Scotland's real economy."

"The Scottish Government is doing all it can. Within our fixed budget we have already announced accelerated investment in affordable housing, and the Cabinet have identified a six-point programme to help business and hard pressed households.

"But these figures back our call for a significant programme of reflation from the UK Government to boost the wider economy, as they control the key economic levers that can make a real difference."

Swinney made these comments after the Chief Secretary to the Treasury, Yvette Cooper, rejected Scottish Government calls to be given an extra £1bn to help Scotland in the current economic climate.

(GK/JM)

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