The latest figures from the Chief Statistician confirmed that the economy expanded by 0.2% over the second quarter of the year, from April to June. This follows growth of 0.4% in the first quarter, January to March.

In June, the sector with the largest contribution to overall GDP were Professional, Scientific and Technical Services and Manufacturing, which each contributed around 0.2 percentage points of growth towards the overall headline figure of 0.6%.

Scottish Friendly savings expert Kevin Brown said: “The fallout from the closure of the Grangemouth oil refinery had a major impact on May’s figures, but greater certainty over the tariffs in the US helped Scottish businesses in June.

“However, there are still troubles lurking for the Scottish economy. The government’s finances are in a sticky spot. The gap between the country’s revenues and spending widened to 11.7% of GDP in 2024/25, more than twice that of the rest of the UK. Retail sales continue to be lacklustre, suggesting consumers are still shopping with caution.

“There is still some uncertainty over key Scottish exports such as whisky. The US is the largest market for Scottish whisky, and since efforts to have the 10% tariff removed were unsuccessful during recent talks, the measure is thought to be costing the Scotch industry approximately £4m each week.

“With the outlook still unpredictable for Scottish households, diligent saving can help build resilience. Finding the best cash savings rates, or selective investment through a diversified stock market portfolio may lead to sound financial housekeeping. They can help keep family finances afloat if the economy weakens from here.”

Deputy First Minister Kate Forbes said: “It is encouraging that, despite the limited economic powers we hold in Scotland, our economy continued to grow in the second quarter. These figures show strong results in manufacturing, professional services and scientific and technical services have contributed to June’s GDP growth of 0.6%.

“Despite global economic challenges and damaging policies like the UK government’s employers national insurance hike, I am committed to driving economic prosperity by pursuing new investment opportunities and supporting businesses to thrive. However, with today’s news that energy prices are set to rise again, it is vital that the UK government takes further action to ensure our economy works for people in Scotland.”