Scotland’s unemployment rate rises by 0.3% as economic inactivity falls

Unemployment in Scotland grew slightly in the last quarter amid a fall in economic inactivity, according to the most recent figures.

Data from the Office for National Statistics (ONS) shows the unemployment rate was at 3.8% between August and October 2025, a 0.3% increase from the previous quarter.

The employment rate grew by 0.4% to 74.9% in the latest quarter.

The rate of economic inactivity for those aged between 16 and 64 in Scotland was at 22.0% in the latest quarter, down 0.7% on the previous three months.

The UK-wide figure for unemployment stood at 5.1% in the ONS’s latest quarterly data, up 0.4% from the previous month.

Across the UK, the employment rate was 74.9% and the economic inactivity rate was 21.0%.

Deputy First Minister Kate Forbes said: “While Scotland’s unemployment rate remains lower than the UK as a whole, these figures reflect the impact of challenging economic conditions.

“These have been made worse by UK Government decisions, including raising employers’ national insurance contributions.

“We’re working with employers to create jobs, drive growth and capitalise on Scottish innovation, while also supporting people facing barriers to entering and sustaining employment.

“Earlier this year, we rolled out specialist employability support to help disabled people and those affected by long-term illness into work.”

Scottish Government analysis of HMRC early estimates found there were 2.45 million payrolled employees in Scotland in November.

This was 3,000 fewer than the number of payrolled employees in October 2025 and down 15,000 from November 2024.

The UK Government has been asked for comment.