Hurricane Storms Could Cost Scotland £100m

Scotland Hurricane

First Posted: 09/12/11 14:30 GMT Updated: 09/12/11 14:30 GMT   PA

The single day of hurricane-force winds that battered Scotland could cost the country's economy around £100 million, business experts have warned.

Early closures, blocked roads, power outages and employees staying at home caused a drop in both revenue and productivity.

Analysts from professional services firm PricewaterhouseCoopers (PwC) said the lost revenue caused by winter weather could push already struggling businesses over the edge.

Meanwhile, tens of thousands of properties are still without electricity, with the possibility that some homes could have no power until Sunday.

Scottish Hydro said 70,000 customers were cut off on Friday morning, down from 105,000 on Thursday night, while Scottish Power had 2,000 customers "off-grid".

There were 400 separate incidents disrupting the electricity network in the north of Scotland, including the western and northern islands, equivalent to two months' work in just one day, Scottish Hydro said.

PwC said pub, restaurant and hotel owners, retailers and hauliers were particularly hard-hit by the storms.

The £100 million figure is based on previous research which suggests that, for every day the UK grinds to a halt, the economic loss is £1 billion a day, the equivalent of around £100 million in Scotland.

PwC's head of private business in Scotland, Caroline Roxburgh, said: "In the past, harsh winters tended to impact on manufacturers but were compensated for elsewhere in the economy. Historic data also suggests that even in extreme weather, much of the productivity lost is actually made up fairly soon after.

"For some Scottish businesses however, the losses they experience will be permanent. If someone has cancelled a restaurant booking or not gone to the theatre or the cinema then that money will be lost."

FOLLOW HUFFPOST UK

The single day of hurricane-force winds that battered Scotland could cost the country's economy around £100 million, business experts have warned. Early closures, blocked roads, power outages and ...
The single day of hurricane-force winds that battered Scotland could cost the country's economy around £100 million, business experts have warned. Early closures, blocked roads, power outages and ...
Filed by Felicity A Morse  | 
 
 
  • Comments
  • 14
  • Pending Comments
  • 0
  • View FAQ
Post Comment Preview Comment
To reply to a Comment: Click "Reply" at the bottom of the comment; after being approved your comment will appear directly underneath the comment you replied to.
View All
Favorites
Recency  | 
Popularity
This user has chosen to opt out of the Badges program
photo
04:46 AM on 12/11/2011
I do hope the people who run things in Scotland are more intelligent than the ones in the US, and will take this as a warning of things to come. Climate change means more storms and more violent storms. Put the wires underground where they belong and you won't have to have people run around trying to fix everything every time the wind blows.
03:42 PM on 12/10/2011
The heading should read "HURRICANE STORMS WILL COST ENGLAND £100 MILLION."
11:40 AM on 12/10/2011
COULD COST A £100 MILLION ! right who made that statement and what exactly did they base it on
people who make statements such as this should not remain faceless,so show your face now !
11:26 PM on 12/09/2011
If the adding up is as good as the Scottish Parliament Building and the Edinburgh Tram system £100 milllion now will be £300 million in a couple of months time.
This user has chosen to opt out of the Badges program
photo
Vapula
Failure is not an option
10:19 PM on 12/09/2011
And England will pay for it.
08:59 PM on 12/09/2011
Another bail out for our friends up North?
07:23 PM on 12/09/2011
I fear Mr Salmond will not want indipendance this week.
This user has chosen to opt out of the Badges program
photo
06:33 PM on 12/10/2011
Probably not. He's busy in China piling up the business opportunites for Scotland.
05:19 PM on 12/09/2011
£100 million, nay problem, the english will pay........again.
04:15 PM on 12/09/2011
This comment has been removed by the Chuffing ton Thought Control Polizei
11:02 PM on 12/09/2011
So you get huffed too??? Looks like this news board has many posts removed, like it or not AOL and the Huff are against the British Posters!!
11:03 PM on 12/09/2011
The Huffers are at it again!!!
03:11 PM on 12/09/2011
That'll make a change then. Usually England has to pay to put things right up there
This user has chosen to opt out of the Badges program
photo
06:31 PM on 12/10/2011
Nonsense. Scotland is a self financing country and donates its surplus to the UK. £800 per head per annum. Like it or not, that's a fact.