Scotland’s economy is estimated to have grown by 0.3% in May, official statistics have showed.
Scottish Government figures published on Wednesday showed that onshore GDP improved following a growth of 0.2% in April, which has been revised from zero.
In the three months to May 2024, GDP is estimated to have grown by 0.9% compared to the 0.5% in the first three months of the year, which have been revised down from the 0.7% first reported.
Growth was particularly evident in the retail, wholesale and motor trades which contributed 0.2 percentage points to overall growth.
However, the positive contributions were partly offset by falling output in electricity and gas supply and manufacturing.
Overall, output in the services sector in Scotland is estimated to have grown 0.6% in May, with growth in seven of the 17 subsectors.
The production sector contracted by 2.2% in May, while construction output grew by 1.9%.
Scottish Secretary Ian Murray said economic growth will be a priority for the UK Government but warned “tough decisions” would be required to achieve it after Chancellor Rachel Reeves confirmed a £22 billion black hole in public spending.
Mr Murray said: “It’s the worst economic inheritance of any incoming government since the Second World War and touch decisions will be required. That’s why the Chancellor is taking immediate action to achieve the economic stability vital for growth.
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“The UK Government will rebuild and regrow. We are making work pay, ensuring the national minimum wage is a true living wage. And with the end of exploitative zero-hour contracts, workers will have increased job security.
“Backed by £8.3 billion of UK Government investment, Scottish-based GB Energy will bring jobs and opportunity for all parts of the UK and trade talks have resumed globally to forge stronger links with our international business partners.”
Employment and investment minister Tom Arthur said: “The Scottish economy has continued to strengthen over the three months to May, despite harsh global economic conditions.”
He added: “The Scottish Government is doing all it can to drive an economy that is fair, green and growing within the restrictions of the devolution settlement and the continuing challenges posed by Brexit. We are investing more than £5 billion in 2024-25 to support economic growth and this week have launched new initiatives to support start-up businesses and unleash entrepreneurial talent.
“A strong economy is fundamental to achieving the Scottish Government’s priorities of eradicating child poverty, boosting economic growth, tackling climate change and improving public services.”
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