Government must act to support jobs in Scotland

The UK government needs to take urgent action to support the efforts of the Scottish government to stimulate growth in the wake of the EU referendum vote.

Speaking ahead of a Parliamentary debate, Keith Brown, Cabinet Secretary for Economy, Jobs and Fair Work, has called on the Treasury to follow the Scottish example and bring forward a stimulus package based on increased capital spending.

He argues that an increase in UK infrastructure spend of £5 billion could provide an additional £400 million spend in Scotland, supporting around 3,000 jobs.

Along with increased capital spending, Brown also said the Treasury could nurture growth by providing further support for exporting companies as the depreciation of Sterling provides an opportunity for companies to either move into new export markets, or start exporting for the first time.

Brown said: “The UK government’s continued austerity means we are already facing a 10 per cent real terms cuts to our budget over 10 years to 2020 and now the UK wide vote for Brexit threatens to make those cuts even harder.

“The Scottish government has acted swiftly to support the economy following the UK wide vote to leave the EU by bringing forward an additional £100 million of capital investment, setting out plans for a £500 million Scottish Growth Scheme to support businesses and working hard to secure Scotland’s continued place in the EU. The Scottish Parliament will have a full opportunity to debate our Scottish stimulus package this afternoon.

“I am calling for the Treasury to take action as a clear plan for how the UK government can help at this critical juncture for our economy.”