ALEX Salmond has again blamed the Olympics after a second successive quarter saw un-employment rise in Scotland but fall across the UK as a whole.
The First Minister said parts of Britain continued to bask in an "Olympics afterglow". He accused Chancellor George Osborne of using the boost to justify "continued inaction" on growing the economy.
Figures from the Office for National Statistics showed the headline unemployment total rose by 4000 from July to September to 218,000.
Across the UK, the figure fell 49,000 to 2.51 million, the lowest total for more than a year. Scotland's unemployment rate – 8.1% – remained above the UK figure at 7.8%.
Youth unemployment north of the Border also increased by 10,000 over the quarter, while the number of Scots out of work and claiming Jobseeker's Allowance rose by 100 in the month of October to 140,700. Those in work fell by 27,000 in the three months to September, and by 4000 compared with the same period last year. The number of Scots in a job was 2.472 million.
The figures do not take into account the closure of the Hall's of Broxburn meat processing plant in West Lothian. The first workers to lose their jobs left at the start of this month, after the figures were compiled. Around 1700 jobs are set to go by February as the factory winds down.
A further 140 jobs are due to go as the Freshlink sausage factory in Glasgow closes, sparking fears Scotland's unemployment total will rise further in the months ahead.
Mr Salmond, who claimed credit last year when Scotland's jobless rate was lower than the UK's, said the impact of the Olympic Games continued to be felt in parts of the UK but warned the boost would be short-lived.
He said: "The biggest danger to the economy is the complacency of George Osborne. He should remember the positive effect of the Olympics on employment will only last a few months, while the impact of the decisions he makes in this forthcoming Autumn Statement will last for years.
"It is time the Chancellor faced the reality that as a result of his decisions the UK's economy is flat-lining. It would be a tragedy for Scotland, and for the UK as a whole, if the positive impact of the Olympics is used to justify continued inaction by the UK Government."
He repeated his call for the Chancellor to use his Autumn Statement next month to sanction a £400 million spending spree on Scottish infrastructure projects.
Opposition parties dismissed Mr Salmond's claims. Ken Macintosh, Scottish Labour's finance spokesman, said: "These figures are dreadful for Scotland and the First Minister has to take responsibility for them. Alex Salmond is running out of excuses. George Osborne blames it on snow and the royal wedding, Alex Salmond on the Olympics – they are two peas in a pod."
Scottish Conservative finance spokesman Gavin Brown said: "When the figures move in the right direction, the SNP is happy to take all the credit. But now we see Scotland performing badly while the rest of the UK moves in the right direction, it's time for the SNP to stop bleating about Westminster and take some responsibility."
Scots LibDem leader Willie Rennie said: "People will want to hear from the SNP why unemployment in Scotland is worsening compared to the rest of the UK this autumn."
Business and union leaders described the figures as "dis-appointing", "miserable" and "grim". Grahame Smith, Scottish Trades Union Congress general secretary, said: "The small rise in unemployment is perhaps not as worrying as the very significant fall in employment."
CBI Scotland senior policy executive Lauren Paterson said: "Businesses are still creating jobs and only continuing private sector growth can help us out of the current tumult. With jobs falling in the public sector, it's vital government at all levels does everything it can to support businesses to grow and create jobs."
Colin Borland, of the Federation of Small Businesses in Scotland, said: "We know small businesses shorten dole queues. So governments north and south of the Border need to listen carefully to what is deterring them from hiring and move quickly to address these barriers."
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