SCOTTISH Labour has accused the SNP of “economic failure” that has led to a £8.5 billion loss in growth.

The party’s analysis, published today as Scots brace themselves for cuts and tax hikes in the forthcoming Budget, compared Scotland’s economic growth with that of English regions and with Wales.

It says that if Scotland’s economy had grown at the same pace as the UK as a whole between 2012 and 2021 it would be £8.5bn larger.

And if it had kept pace with north-west England its economy would have grown by an extra £11.5bn.

Keeping pace with Wales would have meant extra growth of £9.6bn and with the West Midlands £9.1bn.

Scotland’s GDP would be £834 more per head if it had replicated the overall UK growth, £1,567 more if it had kept up with the north-west of England and £2,376 if it had followed Wales, the analysis found.

Scottish Labour said that while other regions have used devolved power to grow local economies, the SNP has held back Scotland’s potential and hammered public finances.

Scottish Labour's finance spokesman Michael Marra said: “The SNP’s low-growth economy has robbed billions of pounds from Scotland’s economy.

“While regions like the north-west have thrived with the devolved mayors in Manchester and Liverpool, Scotland’s potential has been held back by an SNP government bereft of ideas or ambition.

“This growth gap has hammered public finances, and now the SNP is gearing up to slash front-line services and hike taxes once again.

“Scots are sick of paying the price of SNP failure — we need a government focused on growing our economy, creating quality jobs and protecting public services.”

The Scottish government was invited to comment.