Covid-19’s economic damage makes the task of improving Scotland’s economy and spreading prosperity almost four times harder.
This is according to the Centre for Cities’ annual study of the UK’s major urban areas.
The research and policy institute found that 30,900 people in Scotland’s largest cities now need to find secure, well-paid jobs to rebuild and improve the economy – compared to 8,600 last March.
Dundee is the place in Scotland facing the biggest challenge, followed closely by Glasgow.
The pandemic has also impacted many previously prosperous places, such as Edinburgh and Aberdeen, disproportionately hard.
|
Rank |
City |
Percentage reduction in unemployment to rebuild the economy |
|
1 |
Dundee |
4.1 |
|
2 |
Glasgow |
4.1 |
|
3 |
Aberdeen |
3.4 |
|
4 |
Edinburgh |
3.0 |
The methodological basis for the report is rooted in official unemployment-related claimant count data.
Centre for Cities worked out how far the unemployment count would need to fall to bring less affluent cities’ economies to the level seen in more affluent places – what the UK Government calls ‘levelling up.’
The report first looked at how close cities were to this pre-Covid and, second, where they are now given the effect the coronavirus has had on the labour market.
The Centre for Cities called on UK and Scottish Governments to announce how they will use their respective powers to deal with Covid-19’s short-term damage to cities and large towns.
It suggested that plans should include: making permanent the £20 rise in Universal Credit; supporting jobless people to find new good jobs; and consideration of a renewed Eat Out to Help Out scheme once it is safe.
Centre for Cities chief executive Andrew Carter said: “Covid-19 has made the task of improving Scotland’s economy and spreading prosperity around its cities and towns much harder.
“Rebuilding and strengthening the economy of Scotland and its cities will not be cheap and will require more than short-term handouts.
“Government support and investment for new businesses in emerging industries will be essential, as will spending on further education to train people to do the good-quality jobs created.”
