According to bespoke kitchens in Glasgow, lower business investment along with weaker confidence of the consumer amongst the uncertainly casting due to Brexit has been taking a toll on the UK housing market. In addition, it has been affecting the Scottish housing market and economy as well. In addition, the survey revealed about the economic report from PwC, which predicted the lowering of Scottish GDP growth to that of UK GDP average in 2017 and 2018. The major reason cited has been the ongoing economic and political uncertainty with respect to the outcome of European negotiations.
Scottish economy recovers from previous year
Even though, house prices in Scotland in 2017 have been expected to recover from the dip during 2016, growth has been predicted to be gradual in the coming year. The major reason has been several transactions falling continuously. Moreover, with the 1.2% GDP growth reduced in 2017 along with 1.1% in 2018 implies that the nation would avoid recession. However, Scotland has been expected to perform poorly in comparison to several parts of UK.
Growth forecast in UK and Wales
UK has been looking forward to expect growth of nearly 1.5% and approximately 1.4% over the year 2017 and 2018 respectively. Similarly, Wales is also looking forward to growth of 1.3% and 1.2% in the 2 respective years. However, the Northern Ireland has been expected to fare poorly, as compare to Scotland in the predictions with meagre growth of 1.1% and 0.9% in 2017 and 2018 respectively. However, overall the reports revealed that UK economy would grow after the held up in a better manner. It has been expected to grow in the coming six months following Brexit vote. However, the growth has been gradual in the initial half of 2017. The major reason has been rise in inflation sharply, which literally strangled the household spending power.