Scotland needs a growth plan for turbulent times

International tensions combined with underinvestment in skills, research and infrastructure, low productivity and an ageing population threaten Scotland’s future economic security, according to Prosper – Scotland’s economic alliance.

In a new report on the state of the economy, Prosper has highlighted areas of opportunity in existing and emerging sectors which it says that Scotland must unlock to compete globally and pay for reforms to rebuild public services.

In Scotland’s Blueprint: The Art of the Possible, Prosper recommends essential actions for the UK and Scottish Governments and for next year’s Holyrood election manifestos which would achieve the national priority of higher economic growth and living standards even in these unstable and unpredictable times.

As the UK Government unveils its Industrial and Trade Strategies and the Scottish Government is expected to publish its new financial strategy, the organisation is calling for the governments to get behind Scotland’s private, public and third sectors and be more open to new ideas and ways of working.

The report’s main recommendations include proposals to:

• Fast-track investment strategies for Scotland’s ports and supply chain development to address infrastructure bottlenecks for deployment of offshore energy projects and build manufacturing and assembly facilities;
• Work with industries on growth plans for sectors in which Scotland is globally competitive, and which strengthen Scotland’s economic security in critical industries, technologies and raw materials;
• Set up a full, independently-led review of university funding which will identify a new way and safeguard world-class learning and innovation;
• Invest to expand training capacity in colleges and universities, work-based learning and lifelong learning, as well as employability services focused tackling key skills shortages;
• Strengthen regional economies by giving more powers and funding to local leaders and partners to join-up services and investments, including in the circular economy, low carbon heating and retrofitting of buildings.

The new Blueprint has been supported by SSE plc, Offshore Energies UK, the Scotch Whisky Association, Zero Waste Scotland and Universities Scotland.

Sara Thiam, Chief Executive, Prosper, said: “At Prosper we believe that Scotland stands at a pivotal moment. In this era of uncertainties, we need to prioritise what most matters – creating an environment in which people, organisations and places can thrive and building strong Scottish industries. Scotland has the skills, expertise and natural resources to compete and prosper. What we need from our Governments now, and beyond the election, is a commitment to joint working and laser-like focus on our proposals to secure growth and prosperity.”

Katy Heidenreich, Supply Chain & People Director, Offshore Energies UK, commented: “The North Sea is a strategic economic asset which can continue to power the Scottish economy with homegrown energy and talent for decades to come. As Prosper’s blueprint makes clear, a bold and joined-up industrial strategy is essential to unlock growth, boost economic resilience and unlock a prosperous energy future. We stand ready to work with governments and industry to deliver that future for Scotland.”

Esther Black, Head of Social & Economic Sustainability, SSE plc, said: “Scotland has a once-in-a-generation opportunity to attract billions of pounds into projects that generate and transport electricity. We need to ensure that investment doesn’t go elsewhere, and that it delivers good quality jobs, new housing, and long-term support for skills. This Blueprint is a call to arms for government, business, and the third sector to take practical steps that will drive a just transition to a thriving net zero economy.”

Mark Kent, Chief Executive, the Scotch Whisky Association, said: “We welcome the publication of Prosper’s Blueprint for the Scottish economy to highlight how Scottish businesses can succeed at home and on the world stage. It’s now vital that government works in partnership with sectors like Scotch Whisky to implement these recommendations and ensure that Scotland and its key industries and communities can sustain and grow for decades to come.”

Claire McPherson, Director, Universities Scotland, added: “Universities are integrally connected to so many parts of what matters most in Scotland, whether that’s jobs and prosperity in our cities, ensuring we have an NHS that is fit for the future and delivering in all parts of the country or the ability to meet the nation’s climate ambitions. You’ll find universities driving the skills development, research and innovation that sits behind all of those broader goals. To protect and build on this into the future, Scotland needs to put universities on a secure, sustainable and internationally competitive financial footing. We need a cross-party consensus behind this going into the next election.”

Iain Gulland, Chief Executive, Zero Waste Scotland, commented: “This Blueprint is part of a growing body of expertise that points towards a greener, fairer, ‘circular’, economy as a vital economic opportunity with potential to create jobs, improve living standards, and generate new opportunities for business. It’s vital that decision-makers have this in front of mind when considering our economic future, rewiring our economy in a way that supports everyone in Scotland to thrive.”