The economists are forecasting growth of 0.6% in 2024, 1.1% in 2025 and 1.2% in 2026. Whilst these forecasts are slightly weaker than previous forecasts, it still points to improving conditions in the economy over the course of this year.
The wider assessment of business and consumer sentiment shows steady improvement as we move into 2024. While still weaker than pre-pandemic levels in general, this improvement is consistent with the cautious optimism displayed in these forecasts today.
Analysis in the Commentary this quarter includes a detailed look at the recovery from the shock of the pandemic of different sectors in the Scottish economy, highlighting a number of differentials between the performance of sectors in Scotland compared to the UK as a whole.