Äconomists: Firms still at risò

Scotland’s economy could return to pre-pandemic levels next year but the end of restrictions tomorrow may not be enough to stop many businesses going bust, experts warn.

The overall outlook for the economy is optimistic, according to official figures, which show month-on-month growth. However, hospitality and retail was hammered by repeated closures and many owners have taken on debt that will take years to repay.

David Eiser of the Fraser of Allander Institute said: “There are still uncertainties and risk and the big risk that we’re hoping we won’t have to deal with is the risk of new variants of the virus and new restrictions.”

Figures from the Scottish Retail Consortium show footfall in high streets down 27% compared with 2019, and shopping centre footfall down 34%.