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Scottish construction sector shrinks a further 6.6 per cent

The Scottish construction sector shrunk by 6.6 per cent in the first three months of the year, according to new government figures.

This is the second successive fall for construction industry activity in the country which shrank 4.7 per cent in the last three months of 2008.

Scotland’s economy also suffered a hit, with its gross domestic product falling but 2.4 per cent. It was the third successive quarterly drop in the country’s GDP, but was similar to the UK figure for the same period.

Enterprise minister Jim Mather said: “We’ve known since April that Scotland’s economy was officially in recession.

“Unemployment has also been rising - although Scotland maintains a higher employment rate and a lower unemployment rate than the UK average and many other developed economies.”

Other sectors also shrunk over the period, including a 1.5 per cent drop in production and a 6.3 per cent fall in manufacturing.