PRESS RELEASE : Scottish Secretary responds to GDP figures for March 2023 [May 2023]

The press release issued by the Office of the Secretary of State for Scotland on 31 May 2023.

UK Government prioritises halving inflation, reducing debt and growing the economy.

The latest Scottish GDP figures have been published today – here for March 2023 and here for Q1 2023 (January to March).

Responding to the statistics, Scottish Secretary Alister Jack said:

Our economic outlook is looking encouraging with the first quarter of this year showing strength due to the swift action of this Government to avoid recession.

The UK Government is creating jobs, boosting trade and encouraging investment with more than £2.2bn invested across Scotland to encourage prosperity. Our priority is to halve inflation, reduce debt and grow the economy for the benefit of the whole of the UK.

The figures show that the economy remained flat in March this year, after growing by 0.3% in February (revised up from 0.2%).

Looking at the broader picture, in the first quarter of 2023, from Jan-March, GDP is estimated to have grown by 0.4%, an improvement compared to the growth of 0.2% in the previous three month period, (October to December 2022).

Additional information:

• The UK avoided recession in 2022, and is now expected to avoid recession this year.
• The UK was the fastest growing economy in the G7 last year. Since 2010, the UK has grown faster than Japan, France, and Italy, and at about the same rate as Germany.
• The IMF are predicting that around 90% of advanced economies will see a decline in growth in 2023.
• At Autumn Statement 2022, the UK Government took difficult, but necessary, decisions across taxation and spending to restore economic stability.
• The OBR have said that the measures in the Budget caused them to revise potential output upwards by the largest amount ever in their forecasts.
• The UK Government is maintaining record levels of capital investment – £600bn over the next 5 years – including investment in critical infrastructure like Northern Powerhouse Rail, HS2 and Sizewell C, and safeguarding the highest ever R&D budget.