Strathclyde University’s Fraser of Allander Institute sounded the warning as it cut its forecast of Scottish growth this year from the 1.9 per cent it predicted in March to 1.4 per cent. It reduced its projection of growth in 2017 from 2.2 per cent to 1.9 per cent.

Fraser of Allander also warned that Brexit would pose a “real threat” to Scotland’s future growth with the potential for a loss of trade, inward investment and finance worsening already weak productivity growth.
Brian Ashcroft, emeritus professor of economics at the University of Strathclyde, said: “At a time when there is increasing policy concern about Scotland’s productivity and growth performance, a vote to leave the EU would place an unnecessary burden on Scottish companies and economic policy.”