HALF of Scottish companies say they do not feel comfortable undertaking investment activity until the outcome of a second independence referendum is known, a survey reveals.

However, 32 per cent of companies state they will still invest, in the context of the Scottish Government’s move towards a second independence referendum, while the remaining 18 per cent have no view either way.

The survey of senior executives at Scottish companies, published today by law firm Burness Paull, also shows 24 per cent of these businesses are not comfortable undertaking investment in the wake of the Brexit vote, until they know the terms of the European Union exit deal. Slightly more than half, 53 per cent, say they feel comfortable engaging in investment, in spite of the continuing lack of clarity on Brexit.

Meanwhile, the survey reveals Scottish companies have lost international deals because of the UK electorate’s vote last June to leave the EU. About 15 per cent of firms said they had pursued and lost an international deal in the past year, with two-fifths of them stating the reason had been that the other party was concerned about Brexit implications.

Around 12 per cent of those surveyed say Brexit has changed their view on Scottish independence, with 88 per cent declaring it has not.

Prime Minister Theresa May is due to trigger Article 50 today, starting the two-year EU exit negotiation process. The Scottish Parliament yesterday voted to give First Minister Nicola Sturgeon a mandate to seek UK Government permission to hold a second independence referendum.

Burness Paull noted its survey had found 88 per cent of Scottish companies view the prospect of a second independence referendum as having more impact, in terms of creating uncertainty, than Brexit.

A survey of Scottish small and medium-sized enterprises (SMEs) published this month by accountancy firm Johnston Carmichael signalled Brexit was a greater concern among these firms than the prospect of a second independence referendum.

In Burness Paull’s survey, 83 per cent of Scottish companies say being part of the UK is vital for corporate Scotland, with the remainder expressing no view either way. And 50 per cent believe being part of Europe is vital. Around 24 per cent consider that being part of Europe is not vital, the survey shows, with 26 per cent expressing no opinion.

Chris Gotts, head of corporate finance at Burness Paull, said a “far higher percentage” saw the relationship they have with the rest of the UK being “far more important” than that they have with Europe. He did, however, acknowledge “underlying concern at a certain level” about Brexit.

He added: “One of the themes that comes through is the resilience of corporate Scotland. There seems to be an unwillingness to let the political climate define what the companies do and don’t do.”

Burness Paull head of corporate Peter Lawson flagged some positives for the North Sea sector.

He said: “The North Sea oil and gas sector – a lengthy chapter in the book of Scotland’s success stories – is…emerging from an unforgiving and relentless downturn with a degree of renewed vigour. A stabilising oil price, matched with greater efficiencies as a result of non-negotiable cost-cutting, has seen an injection of investment.”

Of the 50 Scottish companies surveyed by Burness, 41 per cent employ more than 500 people.