Unemployment in Scotland rose to 5.1% in the three months to July 2026, according to figures from the Office for National Statistics. The rate, which covers people aged 16 and over, was up 0.6 percentage points on the previous quarter and sat above the UK-wide reading of 4.9%. The statistics point to a softer jobs market north of the border compared with the rest of the country.
The data indicated that about 140,000 people aged 16 and over were out of work and looking for a job during the period. The employment rate for those aged 16 to 64 stood at 73.7%, a fall of 0.4 percentage points from the previous three months. In total, an estimated 2.627 million people were in work across Scotland over the same window.
Compared with a year earlier, the picture showed a clear deterioration. Analysis of the same release noted that Scotland’s jobless rate had climbed from 3.3% twelve months before, while the employment rate had eased from 74.5%. Economic inactivity, which counts people who are neither working nor seeking work, was estimated at 22.2%.
The figures also revealed uneven outcomes across groups. Unemployment among 16 to 24-year-olds was recorded at 16.0%, far higher than the headline rate, and economic inactivity was more common among women than men. Analysts often caution that the survey behind the estimates carries a margin of error, so movements over a single quarter can overstate the underlying trend.
The figures come amid wider concern about the UK labour market, with national data showing falling payrolls and fewer vacancies over the summer. Labour market statistics are watched closely by both the Scottish and UK governments as a gauge of economic health, and by the Bank of England as it weighs decisions on interest rates. The ONS is due to publish its next set of figures in the following month.
