Scottish economy grows 0.5% to move ahead of UK growth
Scottish economic growth has overtaken the UK with 0.5% growth, new official figures show.
Scottish GDP grew by 0.5% in real terms between April and June 2018, a marginal increase on the 0.4% the previous quarter.
The UK economy grew 0.4% in the second quarter of 2018.
Across Scotland in this period output in the construction sector grew by 1.8%, production by 0.6% and the services sector by 0.4% while agriculture fell by 1.2%.
Latest đ´ó §ó ˘ó łó Łó ´ó ż GDP figures published this morning. Growth in Scotland in second quarter of 2018 was 0.5% (UK 0.4%). Over the year, Scottish economy grew by 1.7% (UK 1.3%). Services, production and construction all showing positive growth.
â Nicola Sturgeon (@NicolaSturgeon) September 19, 2018
Scottish economic growth for the first half of 2018 at 0.8% is higher than the 0.7% growth forecast the Scottish Fiscal Commission projected for the whole of 2018.
In the year since the the second quarter of 2017, the Scottish economy has grown 1.7%, while the equivalent growth UK-wide was 1.3%.
Scottish Finance Secretary Derek Mackay, said: âThese are welcome figures which show that Scottish growth is both pulling ahead of the UK, and outperforming the official growth forecast.
âThe Scottish Government is focused on building on the countryâs strong economic foundations, supporting businesses to stimulate growth jobs and investment.
âOur Programme for Government includes an ambitious package of measures to ensure we are delivering for the economy of today and ready to seize the opportunities of the future.â
The Scottish economy grew by 0.5% during the second quarter of 2018. In the first half of this year, Scottish GDP grew by 0.8% (UK 0.6%) This growth in the first six months of 2018 is greater than the 0.7% growth forecast made by Scottish Fiscal Commission for 2018 as a whole.
â Derek Mackay MSP (@DerekMackaySNP) September 19, 2018
He also warned of the risk Brexit poses to the economy.
Scottish Secretary David Mundell said: âIt is welcome news that Scotlandâs economy continues to grow. However, we cannot be complacent.
âScotlandâs economic performance is still struggling to close the gap with the UK economy which has opened up over recent years.
âI urge the Scottish Government to focus on growing Scotlandâs economy.â
Analysis by economist John McLaren highlighted Scotlandâs 1.1% annual GDP growth rate post 2010, almost half of the UK growth of 2% a year in the same period.
He said: âScotland continues to perform relatively well in 2018. It is particularly welcome to see that much of this growth has returned to the âactiveâ side of the economy, including manufacturing and most private sector services.
âHowever, Scotlandâs longer term GDP growth performance continues to disappoint, despite recent data revisions.
âWhile the recent uptick in output over the last six months is welcome it does little to redress past failings and its source remains largely a mystery, as too does the causes of past underperformance.
âEven at the higher growth rates seen in the past two quarters Scotland is still only looking at a growth rate of around 1.5% for 2018 as a whole.â