Rural Exchange

Rural & Islands Insight Report 2023

2023 Rural & Islands Insights Report

What were we trying to find out? There is a limited evidence base on the makeup and drivers of change in our rural and island communities and economies. This report is the first of an annual series of reports stemming from research funded by the Scottish Government’s Strategic Research Programme 2022-27, that aims to provide novel insights on Scotland’s rural and island economies and communities. This new lens is particularly timely, with the First Minister, Humza Yousaf, and his cabinet committing to a Rural Delivery Plan by 2026 and have published their Rural and Island Housing Action Plan in October 2023.

What did we do?  We firstly reviewed rural and island policy to see how it has evolved over time. We also scanned a wide variety of data sources to help provide statistics that could help us provide insights into the specific characteristics of, and issues faced by, rural and island economies and communities. As a starting point we extended the Scottish Government Urban Rural classification to provide a more nuanced lens with which to highlight specific challenges facing our islands and very remote mainland regions.

What did we learn?  We found that our rural and island economies and communities are incredibly diverse, and issues faced in one locality are not always the same in the next. Whilst not universal, on average we found that very remote mainland areas, as well as islands, are faced with some of the most significant demographic challenges: – slow population growth; ageing populations; fewer young children that lead to a long-term shrinking of the economic base; high levels of vacant and second home ownership; affordable housing concerns from locals; higher fuel prices; etc. In accessible parts of Scotland there has been rapid population growth, leading to a growth in housing developments and pressures on local services.






What do we recommend? We believe the new Novel Insights on Scotland’s rural and island economies (NISRIE) peripherality classification offers a more nuanced lens with which to monitor communities and economies of our islands and very remote mainland areas, which share similar traits. There would be benefits for the Scottish Government in adapting such a classification to improve the evidence base that is vital to deliver the Rural Delivery Plan.

Our research re-emphasises the diversity of economic activity, demographic change and pressure, as well as economic infrastructure challenges (e.g. transport, affordable housing) faced by rural and island communities. This heterogeneity points to a need for greater emphasis on place-based policy, or indeed extending the legislative requirements for Island Community Impact Assessments into our remote and very remote mainland communities.


Authors: Steven Thomson, Jane Atterton, Pattanapong Tiwasing, Jenny McMillan, Lorna Pate, Ana Vuin and Ian Merrell.  Funded by the Scottish Government Strategic Research Programme 2022-2027.  SRUC-E1-1: Novel insights on Scotland’s rural and island economies (NISRIE) & SRUC-E2-1 Reimagined rural and island communities (ReRic)

You can read our report using the link below or using the DOI: https://doi.org/10.58073/SRUC.23807703.v1

Further Reading

More within the Rural & Islands Insight Report 2023 project

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Rural & Islands Insight Report 2023

2023 Rural & Islands Insights Report

What were we trying to find out...[more]

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NISRIE analytical framework

Novel Insight on Scotland's Rural and Island Economies Analytical Framework

There are a wide range of geographic classifications available to assess socio-economic data in Scotland. For example, population, business and...[more]


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