ALMOST two-thirds of Scots expect the economy to continue tanking under Labour over the next year amid accusations the public have “lost trust” in Keir Starmer’s Government.
The quarterly Understanding Scotland economy tracker from the David Hume Institute and the Diffley Partnership has revealed 62% of Scots believe economic conditions have worsened over the past year.
The study also found 64% of Scots expect a worsening of the economy in the next 12 months, according to The Scotsman.
The independent tracker shows the proportion of Scots predicting worsening conditions has declined slightly - by one to two percentage points – but still fewer than one in 10 expect economic improvement.
It comes after Starmer told the media at the weekend from Scottish Labour conference that he doesn't listen to "punters" or opinion polls when he was questioned on the party's falling support in Scotland.
Healthcare and cost of living are still the biggest concerns for Scots according to the Understanding Scotland survey, but the economy is emerging as a key issue.
Research was carried out between February 4 and 10, with 2194 responses collected from people aged 16 or over across Scotland.
Healthcare remains the top priority, with concern rising by four percentage points to 50%, while the cost of living remains a pressing issue at 34%, but concern about the economy is resurging increasing by four percentage points to 20%.
The study found evidence of a bleak economic climate. More than half of Scots are now cutting back on leisure activities, 52% are reducing non-essential spending and 45% are saving less than usual.
The proportion of Scots who believe the country is heading in the right direction has risen by four percentage points to 24%, narrowly overtaking those who remain uncertain.
Susan Murray, director of the David Hume Institute, said: “This survey shows the stark reality of life for many people in Scotland.
“With so much talk about increasing growth at Westminster and Holyrood, many of the infrastructure investments that are hoped will drive growth are way down the line.
"The physical and mental health of Scots is being affected today, which will cost society more in the long run, through long-term health conditions and lower productivity. The promise of jam tomorrow is not easing financial stress today.”
Scott Edgar, senior research manager at the Diffley Partnership, added: “Healthcare, the cost of living, and economic uncertainty dominate public concern, with Scots clearly feeling the strain on public services and their pockets.
“Cost-cutting behaviours are widespread and fewer people are able to save for a rainy day or their long-term goals. The resurgence of economic worries we are tracking signals deeper anxieties about the year ahead and the lead up to Holyrood 2026 elections.
“However, with a small, but notable rise in optimism in the country’s direction, there are early signs that confidence in Scotland’s future may be starting to shift.”
Chancellor Rachel Reeves said last week her “number one mission” was getting “more pounds in pockets” after the Office for National Statistics confirmed a rise in inflation.
