Scotland’s private-sector economy returned to growth in January after contracting the previous month, according to the Bank of Scotland’s Purchasing Managers’ Index report.

Manufacturing output grew, but the services sector recorded a marginal decline in output.

The PMI for Scotland — a composite measure of manufacturing and services output — increased from 49.4 in December to 50.3 in January on a seasonally adjusted basis (this took it above the level — 50 — that separates expansion from contraction).

However, this meant that Scottish growth was weaker than even the modest rate recorded for the UK private-sector economy as a whole in January.

The UK output index fell from 54.9 in December to 53.5 in January, and although this was significantly ahead of the figure recorded in Scotland, it did represent a significant decline in the UK growth rate.

The manufacturing output index in the PMI Scotland report dipped from 53.1 in December to 52.2 in January, signalling a slowdown in this sector but remaining significantly above the 50 mark.

The Scottish services activity index rose from 48.5 in December to 49.8 in January.

Overall, the PMI Scotland survey signalled a modest rise in employment in the private-sector economy north of the border — the employment index rose from 50.8 in December to 51.2 in January.

Both the Scottish manufacturing and services sectors recorded growth in employment.