Study confirms importance of Scotch

Figures from a new study have revealed that Scotch Whisky is worth £4 billion a year in added value to the Scottish economy, and the industry spends in excess of £1.1bn annually on supplies produced in Scotland.

The report The Economic Impact of Scotch Whisky Production in Scotland by Verso Economics also reveals the industry’s annual turnover in Scotland is now £6.4 billion and that after oil and gas the sector remains the country’s leading manufactured export, with shipments of £3.1 billion a year.

The spending with Scottish suppliers, which includes £200 million on cereals, helps support 35,000 Scottish jobs, with the industry itself directly employing 10,300 people across the country.

The study also reveals:
• Spending with Scottish suppliers has increased by 61% since 2000
• Export value has grown by 42% since 2000 (from £2.2bn)
• Capital spending of £355 million a year, of which nearly a third is invested in Scotland
• Scotch Whisky’s economic impact is as significant as tourism - with employees adding 12 times more value per head
• Industry productivity at £262,000 per employee is six times the Scottish average
• One fifth of Scotch Whisky jobs are in the more fragile rural communities across the Highlands & Islands
• Scotch Whisky supports double the number of Scottish jobs than those in aerospace & defence, as well as a similar number to those employed in Scottish universities
• The majority of employment is found in Strathclyde (52%), Central Scotland & Fife (17%), Grampian (14%), and Lothian (11%)

Download a full copy of the report here

1 June 2010 - Felicity Murray