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Interwar Scotland: Depression

© Simon Hill

Scotland was suffering economically between the wars and many people associated this economic decline with a more general national decline. Scotland had become largely a branch economy, there was little control over the economy from within and some argued this prevented economic development and improvement. The 1931 census revealed a population decline of 40,000, while England and Wales had grown by 2 million. This was largely due to the high level of emigration from Scotland, meanwhile the church stirred up fears about the level of Irish immigration. National self confidence was at a seriously low point.

In contrast it is worth remembering that around four out of five of the Scottish labour force remained in employment even during the worst years of the recession. Their real incomes and living standards were both on the rise. The arrival of cinemas led a leisure revolution which also included dance halls (with thirty in Glasgow alone) and radios (in over 40% of homes by the end of the 1930's). Despite these factors there can be little doubt about the devastating effect of the economic crisis.

During the height of the depression, between 1928 and 1932 Scottish GDP declined by 2% and unemployment hit a high of 26% (over double the English level). Poor housing and health contributed to a pretty bleak picture. In fact by 1939 half of the Scottish housing stock was considered inadequate and gross overcrowding was five times worse than in England. No solution was possible as all government funds were committed to re-armament.

The economic pressures contributed greatly to growing social problems in Scotland. Violent crime, such as that perpetrated by the infamous Glasgow razor gangs was rife during the depression. Sectarianism also grew in strength, as the church became determined to prevent Irish immigration and resentment of the incomers led to job discrimination on the basis of religion. Certain shipyards were exclusively Protestant.

There were also many protests from working class movements, including the 1926 General Strike, and a series of rent strikes and hunger marches across Britain. They protested against the appauling unemployment and the lack of a government reaction to the suffering.

With the decline of the British Empire and the stresses of war and depression there were many people in Scotland who felt the British government was not doing enough north of the border. Scotland was marginalised and lacking a seperate national identity. The concentration on heavy industry and manufacturing set Scotland up for a big fall and the economy proved unable to adapt or diversify when these industries went into decline.

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