Prioritise the economy

A number of key surveys released today indicate that the Scottish economy is in a very fragile condition and some commentators are convinced that the current uncertainty over the independence referendum is exacerbating the situation.

While some shops had a profitable Christmas, many did not. The Scottish Retail Consortium sales monitor for December 2011 is headlined ‘Worst December since at least 1999’. Piling on the pressure, the Scottish Chambers of Commerce (SCC) quarterly report, produced in partnership with the Fraser of Allander Institute at Strathclyde University, suggests that 2012 may be even tougher than the previous year for Scottish businesses. Finally, today’s job figures also showed that the number of unemployed people in Scotland rose by 19,000 between September and November of last year. Concerns over the Eurozone; weak domestic demand and limited access to funding are all thought to be weighing down the country’s economic prospects.

The Scotsman has an in-depth look at the figures along with commentary. Garry Clark, head of policy and public affairs at the SCC is quoted as saying, ‘In the midst of the current political debate in Scotland, it is crucial that all our politicians keep their eyes on the economy as the number-one priority.’

The paper also has quotes from Scottish Labour’s finance spokesman, Ken Macintosh, warning the SNP not to let the independence debate distract it from the economy.