Economy

The UK's inflation rate remained unchanged at 3.8% in September, holding at the same level for the third consecutive month, according to official figures. The data from the Office for National Statistics (ONS) defied economists' forecasts, which had predicted the rate would climb to 4%.

Scotland’s private sector presented a mixed economic picture in September, with a surprising surge in hiring set against a backdrop of falling business activity and declining new orders. Businesses took on additional staff for the first time in four months and expectations for the coming year

The Governor of the Bank of England, Andrew Bailey, has warned that Brexit will have a negative impact on the UK economy for the "foreseeable future". Speaking in Washington DC, Mr Bailey stated that while he took no political position on the UK's departure from the EU, the resulting trade restricti

The UK economy returned to modest growth in August, expanding by 0.1% and offering a sliver of positive news for Chancellor Rachel Reeves ahead of next month’s crucial Autumn Budget. According to the Office for National Statistics (ONS), the rebound was primarily driven by a 0.7% expansion in

The UK is set to have the second-fastest growing economy among the G7 nations next year, but will be hampered by the highest inflation, according to a mixed forecast from the International Monetary Fund (IMF). In an upbeat assessment for Chancellor Rachel Reeves, the IMF projects modest UK growth of

Scotland's labour market is showing signs of increasing pressure, with new official figures revealing a fall in the employment rate alongside rises in both unemployment and economic inactivity. According to data for June to August 2025, Scotland's employment rate for people aged 16-64 fell by 0.6 pe

The International Monetary Fund and the Bank of England have become the latest major financial institutions to warn that the global stock market is at risk of a significant correction should investor enthusiasm for artificial intelligence cool. Speaking ahead of the IMF's annual meetings, chief Kris

Scottish businesses have become markedly more pessimistic about the economic outlook, according to research from the University of Strathclyde’s Fraser of Allander Institute. At the same time, the Institute warns that ongoing problems with the reliability of labour market statistics are obscur

The UK construction sector saw a slight uptick in activity in September, but it remains firmly in contractionary territory.

The UK economy may be on a more precarious footing than previously understood after a major revision to official data cast doubt on the scale of household savings. Analysts are now warning that hopes for a consumer-spending boom, fuelled by a "massive wodge of cash" saved during the pandemic, are li

The UK economy grew by 0.3% in the second quarter of the year, a slowdown from the 0.7% growth recorded in the first three months. The official figures, confirmed by the Office for National Statistics (ONS), come as firms reportedly front-loaded spending earlier in the year to pre-empt potentia

Scotland’s onshore GDP fell by 0.3% in July 2025, a reversal from the revised 0.7% growth seen in June, according to the latest figures from the Chief Statistician. Despite the monthly contraction, the broader picture shows growth of 0.5% for the three-month period ending in July when compared

According to RSM UK’s latest Economic Outlook for Q3 2025, the UK was the best performing G7 economy in the first half of 2025, despite low consumer confidence and stagnant business investment. However, growth looks more challenging moving forward, with inflation set to hit 4% and wage growth

The UK government is faced with a future of difficult tax choices, with an increased likelihood of tax rises to combat mounting public spending pressures and sluggish economic growth, according to KPMG.

UK government borrowing soared to £83.8 billion in the first five months of the fiscal year, the highest for this period in the last five years.