Shadow Finance Secretary Donald Cameron has warned that the Scottish Government will need to act urgently to deliver an economic support package.
Mr Cameron made his comments after the Fraser of Allander Institute estimated that if the current coronavirus-related restrictions last to the summer, “Scottish GDP could contract by 20-25%.”
Mr Cameron, a Highlands and Islands MSP, said: “A contraction of this magnitude would be brutal for jobs, growth and prosperity.
“The service sector could be down by 20% which would have enormous implications for the Highlands and Islands.
“For instance, the report forecasts a severe contraction in the accommodation sector which forms a bedrock of the regional economy.
“Everyone understands the public health need for lockdown at the moment.
“But this warning makes it all the more essential that the Scottish Government gets its economic support package absolutely right and that it is tailored for the differing needs of the regions and not just focused on the Central Belt.
“As it stands, businesses of all sizes, right across the country, are concerned that hasn’t been the case.”