This comes out of the ScotlandIS annual Scottish Technology Industry Survey. The survey is an in-depth look into statistics from the Scottish tech industry from the past year. Key trends and projections are gleaned from the data for calculated outlooks for the next year. 

The survey found that 83% of companies expected to increase their headcounts this upcoming year, a 7% increase from last year, and no companies in the survey anticipate needing to cut jobs. The sectors expected to see the greatest opportunities in the next 12 months are cybersecurity, followed by data analytics, and artificial intelligence.

Hampering the growth experienced by Scottish tech businesses during a time where 87% of companies are exporting at their highest levels since the Covid-19 pandemic, is the shortage of talent in the industry. 

Research from the Digital Technology Education Charter shows that of the over 13,000 new digital jobs available last year in Scotland, they were only able to fill 5,000 of them through apprenticeships and graduates. 

“The skills shortage has long been a challenge for the Scottish tech sector, but it is now mission critical. If we cannot fill vacancies and source talented people, the potential for growth will be stymied,” said Karen Meechan, CEO of ScotlandIS. “The Scottish economy can ill afford to let growth and opportunity slip through its hands, when so many other sectors are struggling.”

A positive outlook and increase in headcount for companies in Scotland is in stark contrast to the job cuts experienced by tech companies across the industry globally in the past year such as Meta, Google, and Spotify. 

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According to the survey from ScotlandIS, the number of businesses recording turnover of over £1 million increased from 22% in 2022, to 37% in 2023. The number of companies expecting up to 20% sales growth is 57%, compared to 44% last year. 

Meechan added: “A very positive outcome from this year’s survey is the way in which our tech sector has stabilised. Huge change was needed to cope with the ebbs and flows of the pandemic era, and that has now settled into more predictable and sustainable growth. Not only are more companies recording seven-figure turnovers, but more and more are also seeking to export their services outside of Scotland. The tech sector needs to export to grow so this is an encouraging sign for the future.”