MORE than a third of Scotland has been identified as “highly investable”, according to a new economic study.
Research by professional services firm KPMG UK and the University of Nottingham found that Scotland exceeded the UK average with 37% of local areas tagged as high investment areas.
Only 22% of areas UK-wide received the same classification.
They found that Scotland’s central belt was experiencing above average levels of research, innovation and business investment – with high levels also seen across the Highlands.
The data comes from the new quarterly Local Business Pulse Index, which uses artificial intelligence to track what is influencing economic activity across all of the UK’s regions.
It splits geographic data concerning businesses, employees and consumers into seven “clusters” to find out how regions are performing in numerous areas including business creation, high investment and employment growth.
James Kergon, Scotland senior partner at KPMG UK, said: “The new index gives us a wide perspective on the indicators and traits of the post-pandemic economy across Scotland.
“It presents a complementary and critically objective analysis for local leaders, investors, and businesses in Scotland. Providing real-time insights like this can assist in directing investments and strategic decisions based on up-to-date data.
“The index also allows for comparisons between local areas in Scotland, determining whether goals are being achieved, and identifying crucial gaps. For example, while business creation may be driving growth in certain regions of Scotland, it may also indicate the need for more efforts to foster research and innovation.”
Dundee, Angus, East Ayrshire and the Borders were found to be experiencing the highest rates of business creation in Scotland while Stirling and Midlothian were leading in the high productivity cluster.
Of the 32 areas in Scotland, 37% were in the high investment cluster, with growth expected in business investment and more firms expected to facilitate hybrid working through investment in digital infrastructure.
