Press Release
NEW: Scots £15,000 poorer from flatlining wages
15 May 2025
15 May 2025
Average earnings in Scotland are £15,000 lower than they would have been if wages had grown as normal rather than flatlined following the 2008 financial crisis, new analysis has revealed.
New research published by the independent think tank Future Economy Scotland finds that:
- Real average weekly earnings at the end of 2024 were just £8 higher than they were in 2008 – equivalent to an increase of just 1% over the past 16 years.
- If earnings had continued to grow in line with their pre-crisis trend of 2.2%, the average full-time worker would be £297 a week better off – equivalent to over £15,000 per year.
- In 2024 the average full-time worker in Scotland earned £38,464 a year. If earnings had instead grown in line with pre-crisis trends, the same worker would be earning £53,923 today.
Commenting on the research, Future Economy Scotland Co-Director Laurie Macfarlane, said:
“Never in modern times have Scots seen their earnings grow so little over a 16 year period. Our analysis shows that if wages had instead grown as normal since 2008, the average worker would be over £15,000 a year better off. For many households, this is the difference between economic security and living on the breadline.
“Although real earnings are now rising slowly again, the damage inflicted by disastrous austerity and runaway inflation cannot be undone. Rather than scapegoating migrants for the country’s economic failures, the debate must focus on the true culprit: a broken economic model. As we enter an election year, there is an urgent need for political parties to embrace bold new ideas to transform the economy. Scotland simply can’t afford yet another five-years of economic failure.”
A chart summarising the analysis is shown below.
A chart summarising the analysis is shown below.
ENDS
NOTES TO EDITORS
[1] All earnings data is taken from the ONS’s Annual Survey of Hours and Earnings. Earnings relate to the real median gross weekly earnings of a full-time worker in Scotland. All figures have been adjusted for inflation to represent 2024 prices using the Consumer Price Index (CPI).
[2] The analysis compares trends in real average weekly earnings between 2008 and 2024 to a counterfactual scenario where real earnings grew by 2.2% a year, which is the average rate that real earnings increased by between 1998 and 2008.
[3] Future Economy Scotland is a non-partisan think tank that aims to create a new economy that is democratic, sustainable and just. The organisation does not have a formal stance on Scotland’s constitutional future, and is not aligned to any political party or any politician. The organisation is a not-for-profit company limited by guarantee operating with charitable principles. For more information, visit: www.futureeconomy.scot
[4] To book an interview with a spokesperson, or for any other questions, please contact press@futureeconomy.scot or call 07909107890