Economic Data

Details of Gross Value Added, the Business Register and Employment Survey, the Annual Survey of Hours and Earnings, and Gross Domestic Household Income in Glasgow.  Note the distinction made between workplace (work in Glasgow, regardless of place of residence) and residence (live in Glasgow, work either in Glasgow or elsewhere) measures.

Gross Value Added

£17,943 Million - this is the estimate of the total value of output produced in Glasgow, as issued by the Office for National Statistics (ONS).  The most recent information is for 2011 and is that GVA for Glasgow was 16.6% of the total output in Scotland (1.3% UK output).  The 2011 figure for Glasgow is 1.2% higher than 2010’s £17,736 million (Scotland +1.9%, UK +2.4%).  These GVA estimates are in current prices and the comparison needs to take into account the effect of inflation.  As the December 2011 Retail Price Index stood at 4.8%, and the GVA change over the year for Glasgow, Scotland and the UK was lower, this represents a fall in GVA in real terms.  This is a workplace measure.

Business Register and Employment Survey 

384,900 jobs - the BRES measures the number of jobs in an area and is produced by ONS as a workplace-based measure.  The details for Glasgow are

• 2011: 384,900 Jobs (264,900 full-time; 120,000 part-time);
• 2010: 387,000 jobs (273,000 FT; 114,000 PT);
• 2009: 407,000 jobs (284,500 FT; 122,400 PT);
• 2008: 420,900 jobs (292,300 FT; 128,600 PT).

This measure directly shows the impact of the recession.  Between 2008 and 2011 the number of jobs fell by 8.6% but whilst full-time jobs fell by 9.4%, part-time jobs fell by 6.7%.  In Scotland the number of jobs fell by 5.3% and in GB by 1.6%.  Full-time jobs fell in both Scotland (-6.8%) and in GB (-3.0%); and while part-time jobs also fell in Scotland (-2.0%) the number increased in GB (+1.5%).  Note that the data for Glasgow in 2010 has been recently revised by ONS.

Annual Survey of Hours and Earnings

£24,465 - this is the median income for full-time employees in Glasgow.  This indicator shows median income for an area at both resident and workplace levels, and is from ONS.

• For residents, full-time income for Glasgow in 2011 was £24,465, an increase of 4.0% on the 2010 level, but still 4.2% lower than the Scottish median;
• For workplaces, full-time income in Glasgow for 2011 was £25,428, 2.4% higher than in 2010 but only 0.2% lower than the Scottish median.

Gross Domestic Household Income

£8,001 Million - this is a measure of household income after deductions due to tax, National Insurance and housing costs have been made.  Produced by ONS, it is a measure of disposable income and is a residence-based measure.  The 2010 estimate for Glasgow was £8,001 million; 3.0% higher than the 2009 figure of £7,769 million, which itself was 3.4% higher than 2008’s £7,513 million.  Glasgow residents comprised 10.0% of the overall Scottish total in 2008, 2009 and 2010.

Future Prospects
Growth sectors: Glasgow has proportionately more people employed in the Scottish Government’s key growth sectors (27.6%) compared to Scotland (25.3%).  It is also higher than in areas surrounding the city – 20.4% (North & South Lanarkshire, East & West Dunbartonshire, East Renfrewshire, Renfrewshire and Inverclyde).   These sectors include food & drink, creative industries, sustainable tourism, energy and renewables, finance & business, and life sciences.

Business Base
Details of local businesses are

• Glasgow has 20,895 local units within enterprises registered for VAT and/or running a PAYE scheme (Edinburgh 19,750);
• But when the focus is on the number of enterprises themselves, Glasgow has 14,675 compared to 14,900 in Edinburgh;
• Consequently, the mean number of employees per enterprise is higher in Glasgow compared to Edinburgh: 26.2 compared to 19.7.  Glasgow is also higher than in Leeds (18.5), Birmingham (19.8), Liverpool (23.0) and Manchester (23.1).

Other data shows that

• 74.3% of employees in Glasgow are in a workplace of less than 10 persons, compared to 80.5% in Scotland, and 82.9% in the UK (2012);
• 35.0% are in an enterprise with an annual turnover of less than £100,000, compared to 40.9% in Scotland, and 42.2% in the UK;
• Glasgow has more new (two years or less) businesses (19.4% in Glasgow, compared to 15.1% in Scotland, and 16.1% in the UK); 
• However their chance of surviving five years after their set-up is lower, as only 38.7% of businesses set up in Glasgow in 2005 were in place five years later, compared to 45.6% in Scotland, and 44.4% in the UK.  

As a result, employment in Glasgow tends to be disproportionately focussed among large employers, and to a greater extent than in other cities.  Glasgow’s micro-business sector appears proportionately smaller than elsewhere, and may require further support.