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2 July 2021 | Economy

State of the Nation: Inflation, retail sales & confidence surge


State of the Nation: Inflation, retail sales & business confidence surge

Inflation, retail sales and business confidence are surging, according to the latest data and forecasts on the Scottish economy analysed in SCDI’s State of the Nation briefing for July.

Meanwhile, amidst the buzz about the benefits and opportunities of a new era of ‘hybrid working’ heralded by COVID-19, new data from CIPD Scotland has revealed some stark home truths about home working and its impact on the mental and physical health of many. Our briefing highlights the challenges for the Fair Work agenda in Scotland.

However, on a more positive note, our new Innovation Critical report highlights a major strategic opportunity for the Scottish economy to boost jobs, exports and productivity, while also delivering a just transition to net zero.

Our analysis suggests Scotland can become a leading innovator and exporter of digital technological solutions to net zero challenges, capturing £250m of inward investment (double current projections) and producing a Climate Tech unicorn by 2025.

Key points

  • UK inflation surges to 2.1%
  • Bank of England warns inflation could hit 3% this year
  • Scottish GDP growth forecasts revised upwards to 5.9% for 2021
  • Scottish business confidence highest in UK
  • Scottish retail sales best for 15 months
  • 43% of Scottish jobs cannot be done from home
  • Carers and key workers more likely to go to work despite being unwell
  • 13% of homeworkers lack suitable workspace, while 12% lack suitable broadband
  • Homeworkers report higher workloads and worse work-life balance

Download the briefing below for all the latest data, forecasts and analysis in one place.

Our briefing is published in partnership with DailyBusiness.