Scotland’s GDP increased by 0.9% in May

Kate Forbes

Scotland’s onshore GDP is estimated to have increased by 0.9% in May as restrictions continued to ease, according to the latest figures published by Scotland’s Chief Statistician.

However, GDP remains 2.7% below the pre-pandemic level in February 2020.

Services sector output grew by 1.1% in May, with increases in eleven of the fourteen subsectors. The largest contribution to growth was from accommodation and food services, as most parts of the country saw a further easing of restrictions during the month.

Output in the production sector increased by 0.7% overall, with increases in the electricity and gas supply and water and waste management subsectors offset by falls in manufacturing and the mining and quarrying subsector.

Output in the construction sector is estimated to have decreased by 0.8%, in line with the UK as a whole, but is 1.1% above its pre-pandemic level in February 2020.

Economy secretary Kate Forbes commented: “It is encouraging to see Scotland’s economy continuing to recover from the pandemic.

“The 0.9% rise in GDP during May is the fourth consecutive monthly increase and output is now 2.7% below its pre-pandemic level in February 2020, having increased from a low of -22.6% in April 2020.

“I am particularly pleased to see further recovery in the service sector as restrictions have eased, and that manufacturing and construction output are above pre-pandemic levels.”

She added: “Although conditions remain difficult for many businesses, their resilience and ingenuity, combined with the careful lifting of restrictions, is creating conditions for sustainable growth.

“The Scottish Government is determined to build a greener, fairer and more prosperous economy and our ambitious 10 year National Strategy will drive Scotland’s economic transformation. But we want to do more and I am pressing the UK Government to provide greater financial certainty by guaranteeing COVID-19 consequential payments and relaxing restrictions on borrowing.”

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