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<p>The UK and Scottish economies have proven remarkably resilient during the pandemic,
and whilst the pandemic is not over, it proves the UK Government’s Plan for Jobs is
working, with latest labour market data showing unemployment is down and the numbers
of people on the payroll across Scotland above pre-pandemic levels.</p><p> </p><p>The
specific performance of Scotland relative to the rest of the UK in the PAYE data is
complex. North Eastern Scotland significantly underperforms on this indicator and
this is likely to be as a result of its industrial mix and reliance on the oil and
gas sector as the Commission suggests. The Commission’s analysis that the labour market
impact of the recent upturn in oil prices is probably not reflected in this data release
either is one with which the Scotland Office would agree. Moreover, the North East
of Scotland’s PAYE data probably dampens Scottish PAYE activity relative to the UK
average and, therefore, this is likely to overstate the level of difference between
Scotland and the other regions and nations of the UK.</p>
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