Understanding Scotland Economy Tracker August 2023

The most recent data from the David Hume Institute and Diffley Partnership’s regular economy tracker reveals a mixed picture of public opinion on the economy.

Research shows extreme cost-saving behaviours in how Scots shop, eat and live are likely to have a disastrous long-term effect on the nation’s health.

Rising cost of living continues to dominate people’s priorities. Around half (48%) say this is a top issue facing Scotland. Two-thirds (67%) say this is a top issue for the Scottish economy.

In response, Scots report that they are shopping around, changing brands or shops, and buying reduced food to cope with rising prices.

But many are engaging in extreme cost-saving behaviours, which may have disastrous health consequences:

• 1 in 7 (15%) are skipping meals

• 1 in 4 (24%) are buying fewer fruits and vegetables

• 1 in 4 (25%) are choosing foods that require no or little cooking such as pot noodles

• More than 1 in 4 (27%) are consuming more packaged or processed foods instead of fresh alternatives.

These changes have serious public health consequences and risk exacerbating pre-existing inequalities, as working class hit hard by rising prices; over 1 in 5 (22%) of those in social grades C2DE report that their finances are much worse now than a year ago.

Scots remain sceptical and pessimistic about Scotland’s economy and direction. Over a third (38%) say that economic conditions are much worse now than a year ago, down from almost half (46%) in May, and over half (56%) believe that things in Scotland are headed in the wrong direction.

Large swathes of the population remain dissatisfied with the actions and support offered by UK and Scottish Government, local authorities, energy companies and the Bank of England. Over 80% feel that these actors have done too little to help people cope with rising prices.