AROUND 48 per cent of small businesses in Scotland lack the full range of basic digital skills that could help them improve productivity and save costs, a survey shows.

The Bank of Scotland Business Digital Index 2017 survey shows 56 per cent of such firms north of the Border do not have their own website, and only 44 per cent use social media.

Around 18 per cent of Scottish SMEs say trading overseas is one of the key benefits of being online.

Bank of Scotland says the index is the largest study of its kind into the digital capabilities of small businesses and charities.

In Scotland, 71 per cent of small businesses reported saving time from being online, and 56 per cent said they had saved on costs.

Barriers holding Scottish firms back from doing more online include concerns about security, cited by 23 per cent of respondents, and a lack of staff with digital skills, mentioned by 22 per cent of firms.