• 82% of North-east businesses believe there is a risk to their viability over the next 12 months
• Over a third (36%) cite weaker consumer demand as biggest financial challenge, followed by digital transformation and technology investment costs (33%)
• 41% intend to invest in digital adoption and AI, 36% in commercial property and 30% in skills development Small and medium-sized businesses (SMEs) across the North-east are accelerating investment in technology, commercial property and workforce skills as they navigate a challenging economic climate, according to new research from Aberdein Considine LLP.
The 2026 SME Business Outlook survey of more than 600 businesses, carried out by Censuswide in January on behalf of the legal firm, examined business resilience across Scotland in the run-up to the Holyrood election. It found that 82% of North-east SMEs believe there is some risk to the viability of their business over the next 12 months. In comparison with Scotland’s other key city regions, Aberdeen and the North-east were slightly more confident than Edinburgh and the Lothians, where 84% of SMEs expressed concerns about their viability, while in Greater Glasgow and Clyde, 75% of SME owners reported worries about their business survival. Firms say weaker consumer demand and the wider economic slowdown are the biggest financial pressures, cited by 36% of respondents in Aberdeen and the North-east, followed by the costs associated with digital transformation and technology upgrades (33%). Despite this, many North-east businesses are choosing to invest rather than scale back. Four in 10 (41%) plan to prioritise digital adoption and artificial intelligence over the next year, making it the top investment focus. Over a third (36%) intend to invest in commercial property, while 30% are planning to strengthen workforce skills and training. Meeting ESG and sustainability targets is also high on the agenda, with 26% identifying it as a key priority over the next 12 months. Structural challenges remain, particularly around people and capability. A quarter (25%) of North-east firms identified skills gaps and workforce challenges as the biggest barrier to growth over the next 12 months – a higher proportion than in Glasgow (13%) and Edinburgh (16%). Sentiment around the energy transition is mixed across the North-east. Almost a third (30%) believe it will have little or no direct impact on their business. However, more than half see some benefit (55%), with 11% viewing it as a major opportunity. This is slightly lower than in Edinburgh and Glasgow, where 56% and 77% of SMEs respectively see the transition as providing some benefit for their business.
Ritchie Whyte, Partner and Head of the Corporate and Business Advisory team at Aberdein Considine, said,
“The results of our 2026 survey are reflective of the fact SMEs in the North-east have witnessed years of policy shifts, funding uncertainty and rising operating costs. All these factors have resulted in tougher local economic conditions for businesses to navigate and have left a tangible and visible impact on business viability. Despite its reputation as Europe’s energy capital, many in Aberdeen and the North-east are also likely feeling sceptical about the promised benefits of the energy transition, which our survey shows, with only 11% of SMEs in the area seeing it as a major opportunity over the next 12 months.”
SMEs are also looking for practical backing from the Scottish Government to help unlock growth, with 36% of North-east businesses saying improved access to grant funding would make the biggest difference to their prospects.
Ritchie continued:
“While businesses in Aberdeen and the North-east are facing softer demand and sustained economic pressures, what’s encouraging is how many are responding proactively.
“We’re seeing firms invest in technology, skills and their premises to improve productivity and position themselves for future growth, rather than standing still.
“With the right support – particularly around funding and workforce development – the region’s business community is well placed to adapt and continue playing a vital role in Scotland’s economy.”
The full survey findings can be accessed here and the report can be downloaded here.