A new Scottish Chambers of Commerce survey measuring business confidence has shown that public spending cuts are having a negative impact on Scottish business. This was especially acute with firms working with the public sector an area which is undergoing major cutbacks.
The fourth quarter of 2010 showed business confidence to be “weak across the board.” The pessimistic outlook was apparent in all sectors of industry.
Manufacturing however, is one area of Scottish industry that is doing particularly well with exports on the increase.
Garry Clark, head of policy at the scottish chamber of commerce, said: “This reinforces the importance of the sector in leading an export-led recovery, and highlights the need to continue efforts to boost international trade links for Scottish business.
“However, other sectors continue to experience challenging trading conditions and there remains no signs of any general economic upturn in the near future.”
Mr Clark added: “Business confidence remains weak across the board and it is clear that the cuts of public spending are having an increasing impact on trade and future expectations.”
