Wednesday 21st July 2010
Commenting on the news that Scottish GDP fell by 3.5 per cent over the year to the end of 2010 Q1, and remained at the same level between the fourth quarter of 2009 and the first quarter of 2010, Liz Cameron, Chief Executive of Scottish Chambers of Commerce, said:
“The news that Scotland’s GDP has fallen by 3.5 per cent over the past year to the end of 2010 Q1 confirms recovery remains fragile. It is somewhat good news that GDP overall has remained constant between the fourth quarter of 2009 and the first quarter of 2010, although this reaffirms we cannot take our eye off the ball.
As the recent Scottish Chambers of Commerce Quarterly Business Survey has shown, some sectors of our economy are expecting tougher trading conditions over the summer. Next year, we will also have to contend with the rise in VAT and public spending cuts both at a Scottish and UK level.
“It is vital in an era of relatively low public spending that every pound we pay to the Government in tax is invested in creating the right environment to allow the private sector to drive our economy forward. This is particularly true in Scotland where our economy has for too long been over-reliant on the public sector for growth.”
