Provisional Outturn 2018-19

Part of the debate – in the Scottish Parliament at on 20 June 2019.

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Photo of Derek Mackay Derek Mackay Scottish National Party

I take responsibility for record high employment in Scotland. Gross domestic product growth was at 0.5 per cent in the first quarter of the year, and, in many quarters, Scotland’s GDP growth has outperformed that in the rest of the United Kingdom. We are outperforming the rest of the United Kingdom in relation to exports; unemployment is lower than it is in the rest of the United Kingdom; productivity is improving more quickly than it is in the rest of the UK; there is more investment, proportionately, in research and development than there is in the rest of the UK; and we are second only to London and the south-east of England in attracting foreign direct investment.

There are two key reasons why Scotland’s economy could be seen, on some measures, as underperforming. First, the UK Government focuses all its economic attention on London and the south-east of England—or it used to, but Brexit will destroy the Conservatives’ economic credibility.

The second reason relates to migration. Migration affects overall economic growth and is an issue, given Scotland’s working-age population. Who controls migration? It is the UK Government, which is trying to end freedom of movement and create a hostile environment for migrants. That is having an impact on our economy.

However, we are reaching the point of convergence with the UK on GDP growth per head of population. We are raising more per head of population, which shows Scotland as the success story that it is.