Output is now 1.1% below the pre-pandemic level in February 2020.

Using the experimental monthly statistics for Quarter 3 as a whole (July to September), GDP is provisionally estimated to have grown by 0.8% compared to the previous quarter.

This reflects a slowdown in growth after the increase of 5.6% in Quarter 2 (April-June), as the easing of restrictions after the winter lockdown has less of an impact on the latest results. In quarterly terms output is now 2.1% below the pre-pandemic level in 2019 Quarter 4.

Output in the services sector, which accounts for around three-quarters of the economy, grew by 0.5% in September, with increases in nine of the fourteen subsectors. In quarterly terms, services output is provisionally estimated to have increased by 2% compared to Quarter 2.

Output in the production sector, which accounts for around 16% of the economy, contracted by 0.9% in September.

There were falls in the two of the four subsectors, which offset growth of 0.3% in the manufacturing subsector. In quarterly terms, production output is provisionally estimated to have fallen by 3.7% compared to Quarter 2.

Output in the construction sector, which accounts for around 6% of the economy is estimated to have grown by 1.9% in September. In quarterly terms, construction output is provisionally estimated to have fallen by 1.5% compared to Quarter 2.

Kate Forbes, finance secretary, commented: “These latest GDP figures underscore Scotland’s continuing economic recovery from coronavirus (COVID-19).

“GDP grew 0.4% in September, leaving output just 1.1% below the pre-pandemic level of February 2020. Output in the service sector, which accounts for around 75% of the economy, rose by 0.5% and growth was also recorded in manufacturing and construction.

“Over the coming weeks I will deliver a Budget to help households, communities and businesses across the country and launch our National Strategy for Economic Transformation, setting out how Scotland will harness innovation and entrepreneurship to create green, fair and sustainable jobs over the next decade.

“Challenges remain, but the indicators show we are in a strong position from which to drive Scotland’s economic recovery and renewal.”