Skye - Economy

Economy

The largest employer on the island and its environs is the public sector, which accounts for about a third of the total workforce, principally in administration, education and health. The second largest employer in the area is the distribution, hotels and restaurants sector, highlighting the importance of tourism. Key attractions include Dunvegan Castle, the Clan Donald Visitor Centre, and The Aros Experience arts and exhibition centre in Portree. There are about a dozen large landowners on Skye, the largest being the public sector, with the Scottish Government owning most of the northern part of the island. Glendale is a community-owned estate in Duirinish and the Sleat Community Trust, the local development trust, is active in various regeneration projects.

Small firms dominate employment in the private sector. The Talisker Distillery, which produces a single malt whisky, is beside Loch Harport on the west coast of the island. Three other whiskies—Mac na Mara ("son of the sea"), Tè Bheag nan Eilean ("wee dram of the isles") and Poit Dhubh ("black pot")—are produced by blender Pràban na Linne ("smugglers den by the Sound of Sleat"), based at Eilean Iarmain. These are marketed using predominantly Gaelic-language labels. There is also an established software presence on Skye, with Portree-based Sitekit having expanded in recent years.

Kyleakin Uig A87 Armadale Sconser Talisker distillery Dunvegan Eilean Iarmain Some of the places important to the economy of Skye

Crofting is still important, but although there are about 2,000 crofts on Skye only 100 or so are large enough to enable a crofter to earn a livelihood entirely from the land. Cod and herring stocks have declined but commercial fishing remains important, especially fish farming of salmon and shellfish such as scampi. The west coast of Scotland has a considerable renewable energy potential and the Isle of Skye Renewables Co-op has recently bought a stake in the Ben Aketil wind farm near Dunvegan. There is a thriving arts and crafts sector.

The unemployment rate in the area tends to be higher than in the Highlands as a whole, and is seasonal in nature, in part due to the impact of tourism. The population is growing and in common with many other scenic rural areas in Scotland, significant increases are expected in the percentage of the population aged 45 to 64 years.