Thursday, 28 August 2014 08:58

Aberdeen: The Scottish anomaly

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Aberdeen is an anomaly - it is Scotland's London - creating more growth and attracting more people than any other region in the country.

Ian Williams, chairman of accountancy firm Campbell Dallas, is a specialist in the region's economy.

 

"Aberdeen produces 28% of Scottish GDP but only 4% of Scottish population - so it's punching above its weight," he said.

"And in that respect it is not dissimilar to London - in fact it is doing better than London if you consider that contribution to the economy."

You can see this impact in the escalating house prices or the bumper-to-bumper traffic jams on the roads each morning.

The future of the energy businesses here are under fierce scrutiny in the run-up to the referendum.

The Scottish government says that 90% of the UK's oil and gas reserves are in Scottish waters - and predict the value of reserves could be worth a whopping £1 trillion.

Government incomes from oil and gas revenues fluctuate with the wholesale prices and, in the last month, the Office for Budget Responsibility has lowered its prediction for revenues in 2016/17 from between £4.2bn and £10.7bn - down to between £2.9bn to £7.8bn.

That is cash either side of the independence debate are banking on, but figures they cannot entirely rely upon.

1 comment

  • Comment Link Deeside Loon(boy) Friday, 29 August 2014 22:12 posted by Deeside Loon(boy)

    Unfortunately many thousands of people work in Aberdeen in high earning jobs Mon-Thurs. They dont live here and dont do much for the local economy. In an Independant Scotland they would pay their taxes here to the Scottish tax collector.

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