SCOTLAND’S private sector economy grew marginally during “challenging” conditions last month, though the rate of expansion eased, a report out today reveals.
Output rose slowly, employment was unchanged and cost pressures continued during November, according to Bank of Scotland’s latest purchasing managers index (PMI).
Donald MacRae, chief economist at the bank, said: “The private sector of the Scottish economy grew marginally in November, with growth in the service sector offsetting a fall in manufacturing output. The Scottish economy is showing the strains of maintaining growth momentum against a background of weak domestic and international demand.
“Despite this challenging environment, employment was maintained in the month.”
The index – based on the responses from purchasing executives in 600 companies – slipped from 50.7 to 50.3 between October and November.
Any reading above 50 denotes expansion.
A drop in the level of new work placed with businesses was blamed for the slowdown in output growth.