The fight against the coronavirus is continuing to take its toll on economic activity in Scotland. Official data capturing the direct impact of the pandemic on the Scottish economy is beginning to be released (see our article from earlier this week on labour market and Universal Credit data), but at the moment it only covers the first few weeks of the lockdown. In this week’s article we continue to look at some regular and new indicators on business activity/sentiment, the labour market, consumer demand, and prices to provide us with an indication of where we might be heading.
With the First Minister’s announcement yesterday about the easing in lockdown restrictions, there may be changes afoot but these won’t be captured in these statistics given the timing of her statement. However, there may have been some spillover from the Prime Minister’s announcements relating to England on the 10th May and a sense that change was on its way. By all accounts, conditions clearly remain challenging, and will no doubt continue to be so even as we move into the next ‘restart’ phase.