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Scotland's economy could lose up to 80,000 jobs if the UK Government pursues a “hard” Brexit, a report suggests.

The University of Strathclyde's Fraser of Allander Institute considered a rage of scenarios to gauge the economic impact over a ten-year period from Scotland leaving the European Union (EU).

Hard Brexit would see the UK stand firm on immigration controls and end the European Court of Justice's jurisdiction in the UK.

Freedom of movement is a requisite of membership of the single market, as as set rules for business.

Fraser of Allander's modelling, outlining the most severe impact under the World Trade Organisation (WTO) model, which would apply if the UK left the single market and was subject to WTO rules for international trade.

Under this model, the researchers said Scottish GDP was expected to be more than five per cent - £8 billion in 2015-16 terms - lower than if Brexit didn't happen and exports would be down around 11 per cent after 10 years.

The researchers estimate real wages would also fall by around seven per cent - equivalent to around £2,000 per year for someone on average full-time earnings – and employment would drop three per cent, or by around 80,000 jobs.

The most optimistic scenario, which would see the UK adopt a trade agreement with EU similar to what Norway has, which would give the UK membership of the European Economic Area and full access to the single market but outside the customs union.

Under this model the researchers estimate Scottish GDP would fall by between two and three per cent over 10 years and employment would fall by around 30,000 and wages would fall between three and four per cent - £800 to £1,200 a year.

The report also suggests Brexit will hit the economies of the rest of the UK more severely than in Scotland due to its higher ratio of exports in the EU compared with Scotland, whose main export market is the rest of UK.

Professor Graeme Roy, director of the Fraser of Allander Institute, said: “This report provides the first detailed assessment of the possible impact of Brexit on the Scottish economy.

“It shows that, under all modelled scenarios, Brexit is likely to have a significant negative impact on the Scottish economy.

“The range of possible outcomes is driven by the nature of any post-Brexit relationship between the UK and the EU - the weaker the economic integration with the EU, the greater the negative impact.”

The report was prepared for Holyrood's Europe and External Relations Committee, which is conducting an inquiry on the implications for Scotland of the EU referendum.

Committee convener Joan McAlpine said: “This report paints a grim picture of Scotland's economy ten years after Brexit.

“Our committee has already found that maintaining access to the single market is key for business and industry in Scotland.

“If the UK Government leads us into a 'hard Brexit', the evidence presented in this report indicates that there could be disastrous consequences for jobs, exports and production.”

Deputy convener Lewis Macdonald added: “Business and industry leaders and workers face an uncertain future according to this evidence.

“GDP, wages and employment are all predicted to fall regardless of the route the UK takes to leave the EU.”