19th August 2020
Commenting on the publication of Scottish Government GDP statistics for Q2 2020, Dr Liz Cameron, Chief Executive of the Scottish Chambers of Commerce said:
“The collapse in Scotland’s GDP in the second quarter sets alarm bells ringing even if the fall was expected. The 19.7% decline from April to June makes Scotland’s and the UK’s economies among the worst performing in Europe.
“These figures confirm the Scottish economy is in deep recession and intervention is required now to prevent real and lasting damage to the jobs market.
“If businesses are to continue to retain their employees, we call on the Chancellor of the Exchequer to make an immediate reduction in employers’ national insurance contributions. As wage support is withdrawn, we also need to see new initiatives such an Employee Retention Incentive which covers new and existing employers, so that employers, particularly in vulnerable sectors and locations, can keep the doors open until they are able to start earning again.
“Without rapid intervention in the form of fiscal stimulus packages as well as cost cutting efforts such as rates holidays, we fear that the Scotland’s economic landscape may never recover to previous levels.”
