David Hume 23/05/2023 David Hume 23/05/2023

Understanding Scotland Economy Tracker - May 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: 62% of Scots think general economic conditions will be worse in a years’ time and 45% think their personal financial situation will be worse in a years’ time.

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.

The economic outlook from Scots remains bleak with 62% thinking that general economic conditions will be worse in a years’ time (although this is down very slightly from 66% in February) and 45% think their personal financial situation will be worse in a years’ time (down from 48% in February).

However, while we have seen a reduction in the number of people thinking that things will be worse, optimism is not rising. Many Scots think that the economic outlook will remain the same over the next 12 months suggesting that they think that the costs and challenges they face are here to stay.

Is this a sign of people adjusting to a new normal?

In order to meet increased costs, many Scots are running down their savings, turning to credit and stopping paying into pensions:

4 in 10 Scots (42%) report having taken money out of their savings to
cover higher costs
1 in 4 have used a credit card to make for purchases that they wouldn’t
usually
1 in % have used ‘buy now pay later’ schemes to cover everyday
spending
A small but increasing number of Scots have stopped contributing to a
pension (7%)

Turning to high-cost borrowing options for everyday essentials can cause the accumulation of substantial debt which will affect people’s lives for many years to come.

The Understanding Scotland: economy tracker is produced in partnership between the David Hume Institute and the Diffley Partnership. The survey gathers economic attitudes and insights from more than 2,000 members of the Scottish adult population every 3 months to track changes over time.

Read the research

David Hume 10/05/2023 David Hume 10/05/2023

Is trust an undervalued ingredient for a thriving economy?

When governments talk of increasing productivity and economic growth, are they focusing sufficiently on the challenges posed by an unhappy workforce or the hours lost in contract disputes? This new discussion paper argues that, although improving levels of trust can take time, it is time well spent as it saves resources in the long term.

Discussion paper by Charlie Woods

Published May 2023

Image of protesters holding a poster that reads, 'We do not trust them'

Labour market disputes, concerns about public contracts and declining trust in government and institutions have risen up the news agenda in recent times. All of these things impact on our economy but the importance of trust in building thriving economies, as an issue in its own right, feels under-explored.

When governments talk of increasing productivity and economic growth, are they focusing sufficiently on the challenges posed by an unhappy workforce or the hours lost in contract disputes? This paper argues that, although improving levels of trust can take time, it is time well spent as it saves resources in the long term.

This paper aims to stimulate discussion about the role that trust and more collaborative relationships can play in strengthening the economy. It is written from the perspective of experience in working to stimulate economic development, help resolve commercial conflicts, facilitate dialogue and develop more effective relationships.

This paper builds on previous David Hume Institute work on the labour market including the 2020 briefing paper on the Danish model of Flexicurity.

About the Author

Charlie Woods has wide-ranging experience of industry, commerce, and public and private sector organisations, ranging from SMEs to government. He was previously Director of Strategy and Chief Economist at Scottish Enterprise and is now executive director of the Scottish Universities Insight Institute and Vice-Chair of the Economic Development Association Scotland (EDAS).

Charlie is an Associate of Core Solutions and has extensive mediation and facilitation experience in a wide range of fields including planning, family business, management, PPP contracts, transport infrastructure, government policy and professional services.

Guest User 07/03/2023 Guest User 07/03/2023

Scotland's land information system: what is it and why does it matter

A new commissioned paper in partnership with Built Environment Forum Scotland, written by Andy Wightman, discusses Scotland’s land information system and why it is a key piece of critical infrastructure.

Photo of derelict cottage in the Scottish Highlands

A new report, written by land reform expert Andy Wightman, commissioned jointly by the David Hume Institute and Built Environment Forum Scotland, says the lack of a fully functioning land and building information system is holding Scotland back.

The paper discusses Scotland’s land information service - what it is and why it matters - and what still needs to be done to fulfil a 2015 Scottish Government commitment in 2015 to deliver a comprehensive Scottish Land Information Service (SCOTLIS).

Information about land and buildings is used everyday by businesses, policy-makers, academics and ordinary citizens. This information ranges from land ownership to valuation, from energy efficiency ratings to building types and from vegetation cover to flood risks.

All of this information exists in some form, however much of it is not easily available and virtually none of it is made available in an integrated form. As the impacts of climate change intensify, there is even greater need for more timely, more comprehensive and more accessible information about land and buildings in Scotland.

This briefing originated from conversations as part of our largest piece of research to date, the Action Project and also connects to our work with Open Data Scotland on the potential of open data and our briefing on levelling up access to high speed broadband.

Read the press release.

Read the report

About the author:

Andy Wightman is a writer and researcher focussing on land governance, land ownership and community land rights. He is the author of publications including Who Owns Scotland (1996), Scotland: Land and Power (1999), Community Land Rights: A Citizen’s Guide (2009) and The Poor Had No Lawyers (2010). He runs the Who Owns Scotland project. From 2016 to 2021, Andy was a Member of the Scottish Parliament. Andy was a Specialist Adviser to the House of Commons Scottish Affairs Committee Inquiry on Land Reform 2013-15 and was a member of the Commission on Local Tax Reform in 2015.

David Hume 04/03/2020 David Hume 04/03/2020

Briefing paper: Understanding the Danish Flexicurity Model

Who will do the jobs? examined the labour market in Scotland and mentioned the recommendation from the Sustainable Growth Commission, that Scotland could learn from the approach Denmark has taken to its labour market. This briefing examines the Danish labour market and their model of Flexicurity in more detail.

In September 2019, the Institute published a report “Who will do the jobs?” which examined the labour market in Scotland. This report mentioned the recommendation from the Sustainable Growth Commission, that Scotland could learn from the approach Denmark has taken to its labour market. This briefing examines the Danish labour market and their model of Flexicurity in more detail.

Introduction

Denmark combines high levels of social protection, low levels of unemployment and strong coordination between highly representative trade union and employer confederations.

However, Denmark’s economic development has been very different from Scotland’s not least in the management of the labour market. Denmark’s modern labour market is the result of numerous policy interventions since the 1960s. Significant institutional changes would likely be required for Scotland to attempt to replicate the Danish model, regardless of the constitutional position.

Read the briefing here.

The David Hume Institute would like to thank the following people for their contribution to the production of this briefing:

Stephen Boyle

Martin McCluskey

Mark Mitchell

David Hume 01/06/2014 David Hume 01/06/2014

Scotland’s Currency Options

HOP 101. Jeremy Peat

What are the options for Scotland with regard to currency in the event of a “yes” vote in the September 2014 referendum?

HOP 101. Scotland’s Currency Options

Jeremy Peat

A paper setting out the options for Scotland with regard to currency in the event of a “yes” vote in the September 2014 referendum.