Scotland's economic recovery slows
04 January 2012
There has been a slowdown in the rate of recovery in the Scottish economy, according to the latest Lloyds TSB Scotland Business Monitor.
For the three months ending November 2011, results showed that just under a third (30%) of firms surveyed increased turnover, 37% experienced static turnover, while a third (33%) experienced a decrease. This gave a net balance of -3%; a very slight deterioration from the 0% of the previous quarter and the 0% of the same quarter one year ago.
Donald MacRae, chief economist, Lloyds TSB Scotland said:
“This latest Business Monitor suggests the already muted recovery in the Scottish economy has stalled. Subdued domestic demand coupled with the global slowdown has hit both services and manufacturing sectors. There is no definite sign of a lapse into a "double dip" but every indication of an already slow recovery slowing further to the point where growth is negligible or non-existent. In the face of slowing global demand, falling business and consumer confidence in the UK and cuts in government spending, the Scottish economy is struggling to maintain growth and momentum. A more vigorous recovery awaits an uplift in both consumer and business confidence."