Scottish Business Monitor, 2025 Q4

Suri, Sanjam and Hampson, Josh (2026) Scottish Business Monitor, 2025 Q4. Fraser of Allander Institute, Glasgow.

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Abstract

Business confidence in Scotland remains weak, with firms pointing to cost pressures, subdued investment, and little prospect of short-term relief as Artificial Intelligence usage becomes increasingly widespread. This report presents the key results from the Fraser of Allander Institute’s (FAI) latest Scot-tish Business Monitor for the fourth quarter of 2025. Over 250 business responded, tracking business sentiment from across all 32 Scot-tish local authorities