Welcome signs of economic growth - Ian Murray
Last week brought some good news. In the first three months of the year, the UK economy grew by 0.6 per cent, beating forecasts. That means the UK economy was the fastest growing in the G7 in the first quarter of 2026, surpassing the US, Germany and others.
Considering the convulsions currently rocking the international order, it is good news indeed. In fact, despite the war in the Middle East and turmoil in the international energy markets, the economy grew by 0.3 per cent in March, defying expectations.
It shows that the economy is in better shape to weather the geopolitical headwinds we are currently facing thanks to the decisions we’ve taken.
Those decisions include delivering large-scale investment across the country – including £750m for the national supercomputer at the University of Edinburgh, £8.3bn for GB Energy and hundreds of millions for investment zones across Scotland – signing trade deals with the US, EU, South Korea and India, and sticking to spending rules to restore economic stability after the chaos of Liz Truss.
Last week we also had the King’s Speech, which outlined a number of bills to kickstart economic growth. One on financial regulation will boost the UK’s competitive edge in financial services, while another on nuclear energy will streamline the process for nuclear power projects, though only south of the border given the SNP’s ban on new nuclear in Scotland.
The King’s Speech also contained ambitious plans to strengthen ties with Europe, which will lower costs for businesses, provide exporters with new opportunities, and expand the horizons of young people who want to work, travel and learn abroad.
Behind the headline growth figures, all of this has brought real, tangible benefits to people. Renewed economic stability has led to 6 interest rate cuts since the general election, saving a typical household over £1500 a year.
Meanwhile, minimum wage increases have lifted the wages of hundreds of thousands of Scotland’s lowest paid workers and pensioners’ living standards have been protected by our ironclad commitment to the Triple Lock.
This further underlines why I think a Labour leadership contest would be a mistake. The economy is growing and our plans are slowly beginning to bear fruit: now is not the time, in my view, to change course and plunge the country into chaos, imperilling the progress we are beginning to see in the economy and public services.
In other news, last week we also had the announcement that NHS England has seen the biggest cut in waiting lists in a single month in 17 years. It is now hitting its target for the number of patients waiting 18-weeks for the first time in years.
Of course, it is a very different situation here in Scotland, where waiting lists remain sky-high, thousands are paying to go private, and people across the country struggle to do something as basic as book an appointment with their GP. This is despite the Scottish Government receiving billions in additional resources from the UK Labour government.
Labour is delivering on growth and waiting lists. Now we will have to wait and see if John Swinney and the SNP will do the same. We may be waiting for some time.