Scotland’s tech sector worth GBP £6.87 billion faces skills gap

ScotlandIS has initiated its 18th annual technology industry survey, inviting input from across Scotland's digital sector to inform its forthcoming 2026 report. The yearly industry overview serves as a reference point for assessing the state of the technology landscape, offering comparative data on growth, challenges, and workforce expectations.

Sector performance

Scotland's technology industry remains a key contributor to the national economy, with the most recent estimates placing its annual gross value added at GBP £6.87 billion. The sector encompasses over 10,000 companies and accounts for an estimated 100,000 digital technology jobs across Scotland. On average, digital technology roles pay GBP £37,000 per year, which is 28% higher than the mean salary for all occupations in Scotland.

Report findings

The previous year's survey revealed continued confidence amongst industry participants. 73% of those surveyed anticipated positive developments in 2025, reflecting a broadly optimistic business outlook. Artificial intelligence and machine learning were identified as key growth areas by 69% of respondents, with 70% highlighting ongoing demand for related skills and expertise within their organisations.

Industry challenges

Notwithstanding the sector's expansion and economic significance, persistent challenges remain. Businesses continue to face tax-related pressures and a shortage of suitably skilled professionals, particularly in high-demand areas such as AI and machine learning. The industry creates roughly 15,600 new job opportunities annually, and filling these positions would generate an additional GBP £1 billion for Scotland's GVA.

Survey participation

ScotlandIS is appealing to both members and non-members within the technology sector to participate in the survey, which aims to capture a comprehensive picture of the industry's needs and priorities.

Karen Meechan, CEO, ScotlandIS, said: "We're encouraging everyone working in Scotland's technology sector to take a few minutes to complete our survey. The more voices we hear, the more accurately we can represent and support the sector."

"The last few years have been challenging for businesses, but optimism continues to shine through Scotland's tech community. From previous responses, we've seen just how strong and resilient our industry is in the face of adversity, and we hope to see that reflected again in the 2026 report."

That said, the year ahead won't be without its hurdles. The sector is yet again in need of stability as businesses face ongoing tax burdens and skills shortages, we know the road ahead won't be easy for them. That's why our annual report is so vital. It helps us understand the challenges and opportunities our members face, and where support is needed most," said Meechan.