Scottish economy grew 0.4% prior to Brexit vote
Scotland's onshore economy grew during the second quarter of the year, according to new figures.
Scotland's onshore economy grew during the second quarter of the year, according to new figures.
Over the period April to June, gross domestic product (GDP) rose by 0.4% compared to the previous three months. Over the same period UK growth was 0.7%.
The figures, which do not include North Sea oil and gas extraction, show output in the economy was also up 0.7% on the same quarter last year.
During the three-month period, services in Scotland grew by 0.5% and production was up 0.3% - but construction contracted by 1.9%.
Business services and finance made the greatest contribution to growth, while the electricity and gas sector contributed most to contraction in the economy.
The figures mostly cover the period before the UK voted to leave the EU on June 23.
Economy Secretary Keith Brown highlighted measures being taken to support business in the wake of the vote, including a £500 million Scottish Growth Fund, and repeated calls for the UK Government to bring forward a capital stimulus package similar to a £100 million commitment in Scotland.
He said: "These figures show that prior to the vote to leave the EU, Scotland's economy was growing.
"Despite concerns surrounding the EU referendum, the fundamentals of Scotland's economy are strong and recent successes, such as Scotland securing more foreign development investment projects in 2015 than any other part of the UK outside London, are to be welcomed.
"The Bank of Scotland's latest PMI showed Scotland's private sector output expanding in September and our labour market now showed record quarterly growth employment over May-July 2016, and the unemployment rate is now below that of the UK.
"But in the months surrounding the EU referendum, there is no doubt that businesses faced challenging circumstances and damaging uncertainty. These are global issues and Scotland is not immune.
"We have constantly made clear our concerns that the vote will have a negative impact on investment and our economy. That is why protecting Scotland's relationship with the EU, and continued membership of the single market, is crucial - so we can build on some of these positive economic trends rather than have this progress placed under serious threat."