Scotland’s economy starts year on stronger footing as growth picks up
Kevin Brown, savings specialist at Scottish Friendly comments on this morning’s Scottish GPD figures:
“The latest set of GDP figures reveal Scotland’s economy expanded by 0.3% in January. This was ahead of the rest of the UK, with the country’s services sector continuing to drive growth. It continues the more encouraging growth pattern seen in December, after a lacklustre Autumn.
"While this is good news, Scots are unlikely to feel much better off. Inflation is still running at just under 3%, and a series of price increases are likely to dent household finances further. In particular, council tax rises are expected to be double or even treble the rate of inflation, while water and energy bills are also set to rise in the coming months.
"Scottish businesses are also facing higher costs as the Employers’ National Insurance rise comes into effect. This may dent hiring and could contribute to further inflationary pressures. It’s likely to be an uncomfortable few months ahead for businesses and households.
"The best defence against tougher times is a strong financial cushion. Scots need to get their finances ship-shape in anticipation of a difficult few months. That means moving any savings languishing in low-paying savings accounts, or looking at stock market options that could provide a greater potential of beating inflation.”
-ENDS-
For more information:
Heather McRoberts, PR & Communications, Scottish Friendly
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Editors notes:
About Scottish Friendly
Scottish Friendly is a leading UK mutual life and investments organisation. It provides its members and their families with a wide range of investment and protection solutions and provides life and investment products and services to other financial organisations.
Scottish Friendly has roots stretching back to 1862. Established as the City of Glasgow Friendly Society, its name changed in October 1992 when it took over Scottish Friendly Assurance.
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