Sir Tom Hunter: Radical policy changes needed to significantly boost Scottish economic growth

  • Oxford Economics report for The Hunter Foundation makes case for transformational growth –
  • Sir Tom Hunter calls for collaboration over a national debate on economic policy in Scotland

Radical and ambitious policy changes are required if Scotland’s economic performance is to be transformed and significantly boosted within the next 15 years, according to a report published today by Oxford Economics, commissioned by The Hunter Foundation.

The ‘Raising Scotland’s Economic Growth Rate’ report from the influential consultancy Oxford Economics is designed to inform The Hunter Foundation’s strategy and hopefully initiate a national debate with all political and interested parties in the UK and Scotland to help shape policy for transformational growth. 

The aim is to address such issues as low productivity, poor business birth rate and lack of success with scale-ups that help to explain why Scotland’s GDP per head is a mere 44% of Singapore’s level, 48% of Ireland’s, 68% of Norway’s and 75% of Denmark’s.

The report finds that “it is not realistic to think that the current economic policies of either the UK or Scottish governments will produce a transformation of Scotland’s economic performance”. Indeed, nor will they for the UK as a whole. 

It puts the case for policies that go beyond current government boundaries, and considers various options under three headings:

  • Increases in government borrowing to stimulate stronger growth in demand and output
  • Significant tax cuts and deregulation to improve competition and incentives in the economy
  • Large increases in government support for businesses, either directly or through increased spending on infrastructure, education and skills, innovation and the green economy.

It says these approaches are not mutually exclusive and, if there is to be radical change, there is a strong case for a combination of all three. 

Drastic change is clearly required as Scotland’s economy lags behind some other countries to such an extent that it would need a business comparable in size with Google’s total global output to bring its GDP per head of population up the level of Norway’s. 

Scotland’s GDP per head has been about 8% lower than the UK as a whole for many years, largely because of poorer productivity. Scotland’s business birth rate came ninth out of 12 UK nations and regions in 2019. The report forecasts that for the period from 2020 to 2035, Scottish real GDP growth will average just 1.3%. 

In terms of government support and intervention, the report recommends an ambitious industrial policy, possibly centred around Scotland’s renewables industry, tapping into its rich tidal, wave and wind resources. This would capitalise on the COP26 UN Climate Change Conference scheduled for Glasgow in November and would support the Scottish government’s commitment to net zero carbon emissions.

The report says “it is not implausible to suggest that there are business opportunities that resemble those that generated Silicon Valley, several decades ago”. 

By way of example the report also notes on the Scottish National Investment Bank (SNIB): “Given its wide remit, the £2 billion funding for the SNIB does not appear to be particularly generous.

But additional funding would only be likely to have an impact on Scotland’s growth rate if there was a clear focus on achieving that as a goal—together with sufficient oversight and transparency to ensure that funds were suitably allocated (and reallocated when needed).”

Sir Tom Hunter of The Hunter Foundation says: “It is for everyone in Scotland, from governments, policy makers and businesses to help solve the problem of poor economic growth that Scotland has faced for too many years.

“I fully agree with the findings of this far-reaching new report that radical economic policies are needed if Scotland’s economy is to be transformed. The report tells us Scotland would need to make changes equivalent in their impact to creating a business comparable in size with Google’s total global output to bring its GDP per head up the level of Norway’s.

“Moreover, we need far more focus in our economic investments not only to make significantly better gains but also to understand what’s working and what’s not.

“But that is only half the picture – we need to embed innovation in health and education and poverty reduction to free up finance to invest in growing our economy. 

“I hope the calls made in the report for more, and different, economic stimulation from governments, tax cuts and deregulation, and appropriate and targeted state interventions, for example in renewables, will be listened to and acted upon.

“I’m calling on governments, politicians of all parties, industry and interested parties to work together to pave the way for transformational measures that will give the Scottish economy the significant boost it needs.

“Let’s use Covid-19 to reinvent what our future looks like.” 

Richard Holt of Oxford Economics says: “The findings of our report emphasise the scale of change and intervention that is needed to address Scotland’s long-standing economic problems.

“Much is being done, but if political leaders want to close the gap with comparable nations, then they need to go beyond their present policy offers.”

New app to make repairing shared properties easier

The City of Edinburgh Council and its partner Novoville are proud to announce the release of Novoville Shared Repairs, a new app dedicated to improving the condition of property in co-ownership in Edinburgh, and all of Scotland.

Born out of the Scottish Government’s CivTech Accelerator programme, Novoville’s Shared Repairs helps private homeowners carry out the maintenance and repairs of shared (common) areas in their tenement, or housing block. The often lengthy and onerous common repairs process can be managed from the app from start to finish.

The free Novoville app, which is available on Google Play and the App Store, allows users to create their ‘virtual tenement’ and report a repair or maintenance issue to fellow proprietors. Then, app users can hire contractors that are members of Edinburgh’s Trusted Trader scheme. Receiving quotes and recording of votes is also fully supported.

Steve Richardson, Director of Scotland Trusted Trader, said: “This is going to be a massive benefit for those looking to organise shared repairs, backed up with the reassurance that Trading Standards vetted members are being used from Edinburgh Trusted Trader.

In order to further expedite the payment process and simplify the process, Novoville Shared Repairs allows app users to create a dedicated e-money account for their tenement with FCA-regulated partner, Modulr. It is no longer necessary to create a traditional treasurer account with a bank or building society in order to gather funds and pay them out to the chosen contractor.

The app is designed to help users carry out repairs in compliance with the Tenement Management Scheme of the Tenements Act (Scotland) 2004. Furthermore, it speeds up decision-making, eliminates much of the complexity and friction associated with coming to an agreement amongst owners, and increases transparency between all participants.

Before the official launch, nearly 50 stairs in Edinburgh have already created their ‘virtual tenement’ in-app through word-of-mouth alone.

Commenting on the app’s release, Fotis Talantzis, CEO of Novoville said: “We are proud to support one of the UK’s greatest architectural assets, the built environment in Edinburgh, with our Shared Repairs app.

“The CivTech programme where it all started was a tremendous experience, and we are very happy that the City of Edinburgh Council decided to continue to support and fund the project afterwards. We have got tons of ideas to take it from there and we’re looking forward to continuing to work with Edinburgh, for Edinburgh and Scotland at large.”

Cllr Rob Munn, Convener of the Finance and Resources Committee at the City of Edinburgh Council, said: “A tremendous amount of work has gone into producing this app and it’s fantastic news that it’s now available for people to use.

“There are around 170,000 tenement flats and other shared buildings with multiple owners in Edinburgh and a lot of these buildings are still in need of urgent repair. This app will make it much easier for owners to get together and take responsibility for their buildings.

“I’d like to thank our staff for recognising the need for this product and rising to the challenge using the Civtech Challenge to produce this innovative app with Novoville.”

Joan Griffiths, Vice Convener of the Finance and Resources Committee at the City of Edinburgh Council, said: “As a city we’re already leading the way in this area and our Shared Repairs Team is doing a fantastic job supporting people who live in shared buildings helping them through the steps they need to take to carry out repairs to their properties properly.

“We’re a member of the Parliamentary Working Group looking at the issue nationally and I’m sure there will be interest in the app outside Edinburg as well.”

Held in our Hearts launches new Thrive for Five campaign

Baby loss charity Held In Our Hearts announce their new fitness-focused campaign – ‘Thrive For Five.’ This campaign directly encourages the charity’s supporters to set themselves weekly goals and challenges in order to build up their ability over a number of weeks to run a 5k. 

The ‘Thrive For Five’ campaign is framed around the concept of 8 weekly challenges where Fundraising Manager, Tracy Watt, an ultra-runner herself, will release encouraging and motivating videos setting out the fitness guidelines of the week – this will enable the campaign to be inclusive, accessible, and welcoming to participants of all fitness levels. 

Tracy Watt, Fundraising Manager said; “We know that now an end to lockdown is in sight, many people may be feeling uneasy at the changes taking place, or lacking in confidence at leaving the house.

“So we wanted to create a challenge that is inclusive and encouraging to Thrive For Five! Our hope through the campaign is to get our supporters out the door moving again and feeling happier, healthier and aiming to complete their virtual 5k with the Edinburgh Marathon Festival at the end of May.”

Fitness-focused campaigns can be a daunting challenge for some, so Held In Our Hearts notes that it is critical for this type of campaign to express to participants that everyone begins their fitness journey at different starting points, with different goals.

The main focus is that participants challenge themselves and thrive towards a new goal which will help manage some of the anxieties we are all feeling coming out of lockdown. 

The ‘Thrive For Five’ campaign also offers the participants practical training to participate in the upcoming virtual Edinburgh Marathon Festival (EMF) – a challenge which subsequently supports Held In Our Hearts through vital fundraising. 

Fundraising through the Edinburgh Marathon Festival is vital in constructing community bonds, developing connections, and is critical for generating income to ensure the charity can continue its services for bereaved families. 

Held In Our Hearts have continued to run a full service to bereaved families throughout the crisis, and have seen a successful adaptation to the shifted landscape of support services directly linked to the current pandemic and various restrictions and regulations.

Free online event will look at impacts of pandemic on children and how best to support families in Edinburgh

Supporting children during the pandemic and beyond, is the focus of a free online event being held for people working with families in Edinburgh.

The virtual event has been organised by Edinburgh Child Protection Committee and NSPCC Scotland to mark the end of a year-long campaign launched to encourage families in the city to access support and advice.

Anyone who works with children or families in Edinburgh can sign up to the event, which is being hosted on Microsoft Teams on Tuesday, April 13th, between 2pm and 5pm.

Speakers will look at how the pandemic has impacted children, the ways in which organisations have adapted to help struggling families and what has been learned during the last year.

Attendees will hear about the All of Us campaign, which was launched to prevent child neglect by encouraging families to get help at an early stage and giving advice on how to support those who were struggling. There will also be an opportunity for people to discuss how to better support children and families in Edinburgh in the future.

Carla Malseed, NSPCC Scotland local campaigns manager, said: “The pandemic has presented many hardships for families, including financial pressures, school closures, relationship strains, isolation and ill-health, and it has been more important than ever that people feel they can reach out for support and advice and get help.

“Organisations in Edinburgh have worked hard to find ways to adapt and support families while social distancing measures have been in place. This event will give us the opportunity to look at what we have learned over the last year and how we can best support families in Edinburgh in the future.”

Jackie Irvine, Chair of the Edinburgh Child Protection Committee, said: “We know that even as we move out of lockdown, people will continue to experience the impact of the pandemic on their lives.

“Protecting young people and supporting families remains a priority for us and we want everyone across the city to be aware of where to turn for help if they or someone they know is struggling.

“It is crucial that we work together to find the best ways of supporting families across the city during this difficult time and beyond.”

Early last year, as part of the campaign, a number of community events were held across the city but further ones were cancelled because of Covid-19 and all activities were moved online, including workshops, seminars and a family fun-day.

In April, the partnership brought together information on its web page about organisations and contacts where families could go for help and support during lockdown. 

This included information on support offered by public services, voluntary agencies and charities. Some examples were food banks, financial advice, crisis loans, mental health support, activities for children and support and advice on home learning.

The information was sent in food boxes to more than 300 families across the city and via email to parents through schools, and it was highlighted through social media campaigns. This resource has continued to be regularly updated throughout the pandemic.

The campaign raised awareness among communities and professionals about the early signs of child neglect and how to help families who were struggling through lunchtime learning sessions and webinars.

To find out more about the campaign visit www.edinburgh.gov.uk/allofus.

To sign up for the online event visit bit.ly/3w3UCjK or email allofus@safefamilies.uk.

For parenting advice and support visit NSPCC helpline or call 0808 800 5000, weekdays 8am to 10pm and weekends 9am to 6pm. People can also contact Social Care Direct on 0131 200 2324.

Shelter Scotland shops opening up to receive donations

Selected Shelter Scotland charity shops are set to open their doors next week to accept donations ahead of opening to the public on April 26th.

The first wave of stores opening up for public donations (on 12th April from Monday to Friday) are as follows:

  • Forrest Road (39 Forrest Road, Edinburgh, EH1 2QP)
  • Morningside (104 Morningside RoadEdinburgh, EH10 4BY)
  • Stockbridge (104 Raeburn Place, Stockbridge, Edinburgh, EH4 1HH)
  • Stockwell Street (Granite House, 37-43 Stockwell Street, Glasgow, G1 4RZ)
  • Botanics (679 Great Western Road, Glasgow, G12 8RA)
  • Paisley (6 High Street, Paisley, PA1 2DQ)

All other Scottish shops will be accepting donations from 21st April when the teams return to work.

Alison Watson, Director of Shelter Scotland, said: “Like so many other charities, the pandemic has been tough on our fundraising efforts, so we are delighted to announce today that some of our much-loved shops will be opening up next week in order to receive donations from the public.

“The hope is that people will have spent a least a little time during lockdown doing something of a spring clean and they may have a bag or two of unwanted items that we’d love for them to donate to us. We are fighting every day to end Scotland’s housing crisis and the public’s support for our shops up and down the country is a vital part of that fight.”

Police Scotland: Break the chain of labour exploitation

Businesses across Scotland, here and now, are directly, or indirectly, involved in the exploitation of workers. Labour exploitation is a very serious criminal offence. Victims suffer psychologically, physically, emotionally and financially.

Labour exploitation takes many forms. Wages are deducted at source for obscure or unjustifiable reasons. People are forced – through threats, intimidation and violence – to work long hours with few or no breaks. Workers’ ability to move between employers is restricted or completely controlled. They are forced to work without appropriate equipment in potentially dangerous situations. Employment rules are ignored, rules that other legitimate businesses have to follow by law.

Business owners, managers, employees – and the wider public – all have a role to play in reducing, and ultimately ending, labour exploitation. The information here is designed to give you the tools to identify and act upon the signs of exploitation and abuse in the workplace.

Labour exploitation occurs in many different industries, in every part of the country. But sectors regarded as being particularly at risk include farming, fishing, food processing, packaging and fulfilment. Police Scotland saw a 135% increase in labour exploitation case referrals in 2019.

Victims of exploitation can be Scottish nationals or workers from elsewhere in the UK and other countries. Research suggests that labour exploitation is a significantly under-reported crime.

Labour exploitation is a form of modern slavery. The primary motivation of offenders is financial gain, regardless of the human cost to victims.

Any business can be affected, although those with high ongoing or seasonal labour needs will always be at higher risk. It’s the responsibility of owners, managers and employees to make sure their business does not become involved in labour exploitation, either intentionally or through poor practice.

Ending workplace exploitation isn’t just the responsibility of business owners and employees. We ask you to play your part by:

  • Staying alert
  • Learning to recognise the signs of exploitation and abuse
  • Reporting suspicions to police
  • Reporting known cases of abuse to police.

Majority of pupils to go back after Easter break

Nearly all pupils will return to full-time school when the Easter holidays end. However, children who are on the shielding list are advised to stay at home until 26 April, in line with advice from the Chief Medical Officer. All other pupils, will return to school once the summer term starts.

Strict 2 metre physical distancing between pupils in secondary schools will be removed and schools will consider how they can strengthen other mitigations.

Following the national expansion of lateral flow testing, twice-weekly tests are available for all school staff in primary, secondary and special schools and for secondary school pupils.

First Minister Nicola Sturgeon said: “This I know, will be a huge relief to many children and young people – and of course to many parents and carers.

“I know though that the return to school, particularly for older pupils, will cause concern and anxiety – to pupils, to parents and of course to teachers and others who work in schools. So let me give an assurance that we will continue to give paramount consideration to safety.  

“The return to school will involve the removal, where necessary, of strict 2m physical distancing between pupils in secondary schools – but we are asking schools to consider how they strengthen other mitigations. Twice-weekly lateral flow testing is already available for all school staff, in primary, secondary and special schools and also for all secondary school pupils and I would encourage as many staff and pupils as possible to make use that testing.

“We will, of course, continue to study and assess the data, in order to quickly identify and limit any outbreaks that do arise, and make sure that we are also learning from them. For now, let me thank everyone who is working to make this return to school possible. For many teachers and school staff, I know, this  has been the hardest year of your professional lives. I am very grateful for the way in which you have adapted to such difficult circumstances.”

Edinburgh’s education leaders have welcomed confirmation from the Scottish Government that schools will fully reopen in Edinburgh on Tuesday 20 April.

All pupils will be back in school on that day except for those shielding who are advised to return on Monday 26 April, in line with the advice of the Chief Medical Officer.

Cllr Ian Perry, Education, Children and Families Convener for the City of Edinburgh Council, said: “This is the news that families of our high school pupils have been looking forward to hearing and it’s great that they have confirmation their children will be back in school full time after the Easter holidays.

“There’s been excellent home learning involving our young people, teaching staff and parents taking place but everyone knows there’s no better place for children than being back in school with their peers and learning face to face.”

Cllr Alison Dickie, Education, Children and Families Vice Convener for the City of Edinburgh Council, said: I’m delighted that our young people will be back in school after the school holidays.

“These are really challenging times for many families and it’s so important for children’s learning and development that they’re back in school where they belong.

“We will make sure our schools continue to be safe learning and teaching environments for all our young people and staff by following the latest health advice.”

The First Minister’s confirmation that there will be a full pupil return post-Easter is of little surprise but the EIS continues to urge great caution.

The removal of physical distancing between pupils, particularly older pupils, represents a heightened risk that more pupils will be infected and the larger numbers in classrooms also creates more risk of airborne transmission, which is why face coverings remain important, including the provision of medical grade face masks for staff.

Whilst some Councils have made progress in relation to monitoring and improving ventilation, others have dragged their heels.

EIS General Secretary Larry Flanagan said, “The full return of pupils needs to be treated with great caution. It will undoubtedly lead to an increase in school Covid outbreaks which will require to be dealt with quickly, particularly for senior pupils who will be in the final stages of their qualification work.

“If we had made more progress on the EIS demands of ventilation, vaccination, and facemasks, we would be in a stronger position. Improving such mitigations is still possible.

“Notwithstanding their concerns, however, teachers will be keen to engage positively with pupils to support their well-being and their progress in learning. There will be a particular challenge for senior pupils as lockdown has squeezed the time available for the alternative certification model.”