New research reveals widespread economic anxiety in Scotland
Press release from the David Hume Institute & Diffley Partnership
25th May 2022
A new survey produced in partnership between DHI and the Diffley Partnership has revealed widespread anxiety about Scotland’s economic outlook. Amid surging prices, the new Understanding Scotland - Economy survey finds:
A quarter of people have lost sleep due to stress over personal finances, rising to 3 in 10 people in the most deprived areas.
Adverse financial conditions have pushed many to forego basic necessities, with 3 in 5 going without heating, and more than a fifth skipping or cutting down on meals to save money.
Rising prices also appear to be pushing people into more vulnerable circumstances, with a third of people eating into their savings, and a quarter taking on debt. The equivalent figures are even higher in deprived areas, at 36% and 32% respectively.
While concern is widespread, rising prices have not hit everyone equally: 23% of people in the most deprived areas say their finances have become ‘much worse’, compared to 13% in the most affluent areas. Parents and families are also feeling the squeeze, with 43% of households with children having taken on debt or borrowed money. In addition, three quarters of those unable to work due to sickness or disability, and four fifths of the unemployed also report feeling worse off.
While the present picture is concerning, most people expect things to get worse before they get better. The poll finds that 84% of people believe that economic conditions in Scotland have deteriorated over the past 12 months, and 77% expect this downward trajectory to continue. A similar picture emerges with regards to people’s personal finances, which 62% judge to have worsened over the same time period, and 59% expect this to continue over the coming year.
Mark Diffley, founder and director of Diffley Partnership said:
“These are some alarming results with no silver lining in sight. Our polling finds extensive and, for some, acute anxiety over a cost of living crisis that is hitting people across all parts of society. A majority of people in all forms of work say that their incomes simply aren’t going far enough, and the picture is even more alarming for those out of or unable to work.”
Susan Murray, Director of the David Hume Institute said:
“These findings draw attention to the urgent need for action to help those at the sharpest end of surging prices. A quarter of people across the country are losing sleep because of worry about their finances and over half of people are cutting back spending. The potential long-term impacts on the nation's health and economy are huge.”
ENDS
Notes to editors:
Designed by the Diffley Partnership, the survey received 2,203 responses from a
representative sample of the adult population, aged 16+, across Scotland. Invitations were
issued online using the ScotPulse panel, and fieldwork was conducted between the 5th - 9th
May 2022, and received 2,170 responses from the adult population, aged 16+, across
Scotland. Results are weighted to the Scottish population (2020 estimates) by age and sex.
About Understanding Scotland: Understanding Scotland is a high-quality quarterly survey
that delivers insights into Scottish behaviours and attitudes towards society, the economy
and the environment. The survey fills a vital gap in research, providing the socioeconomic
insights and indicators needed for effective decision-making, with regularity and timeliness.