BUSINESSES in Scotland are outperforming the UK average on profitability.
The findings were made in a study of 220,000 firms by accountancy and business advisory firm BDO.
Scottish businesses reported average profit margins of 7.5% – which is above the UK’s average of 6.7% and ranked second only to businesses in London that reported average profit margins of 8.1%.
Scotland’s strong financial services industry and whisky distillers were highlighted as key factors in the strong performance.
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Andrew McNamara, business services and outsourcing partner at BDO, said: “It’s encouraging to see Scottish businesses reporting above average profit margins.
“The country is particularly strong in some of the UK’s best-performing industries and is well-positioned to weather and rebound from the disruption of Covid-19.
“The heritage food and drink industry is one of the UK’s biggest goods export success stories, while financial services is the UK’s biggest…
