Scotland's first minister Henry McLeish has resigned, telling MSPs he took full personal responsibility for the row over office allowances.

In a personal statement heard in silence by the Scottish parliament on Thursday afternoon, McLeish said there was no need to repeat the details of the so-called "officegate" affair in which he claimed expenses for his constituency office while failing to declare he was sub-letting the office.

"I take full personal responsibility," he said, adding that while members of his staff had come in for criticism "the ultimate responsibility is mine - and mine alone".

"What has surprised and dismayed me over the past few weeks has been how my family, friends, staff and colleagues have been brought into matters which are my responsibility alone - and how they have been made to suffer. That focus, that attention, has astonished them and me," he said.

McLeish said he was proud of his role in delivering devolution and proud of what his party had done for Scotland.

"So I would be the last person to willingly or knowingly put the principles behind these new and great institutions at risk, and in doing so put at risk everything that I have cherished in over 25 years in politics from becoming a councillor in Kirkcaldy district in 1974 to holding the highest office in Scotland over the last year," said McLeish.

He said he had entered politics to serve the people he grew up with: "And if I have let them down in this matter, I have served them - I hope I have served them well - in many others."

He told MSPs it had been a privilege to serve in the Scottish executive and he was proud of what he had achieved. "It is time now for others to lead us as we take that work forward," he said.

He said the party needed to focus on the concerns of the people of Scotland. "I want us to be allowed to do that with a minimum of distraction," he said "That is why I am resigning. And I call on Scotland to give all of us - and my successor - the fair and reasonable circumstances we need to allow that to happen."

Indicating he will not be stepping down as an MSP in the wake of the scandal, he said: "I will continue with my duties as MSP for Central Fife, serving the people I know and grew up with. That in itself is - and remains - an enormous privilege."

McLeish was given a standing ovation by MSPs has he left the chamber after the statement. He was thanked by Presiding Officer Sir David Steel for his service as first minister and for his actions taken in the interest of the parliament as a whole.

The parliament's business manager Tom McCabe had earlier told MSPs of the decision. "I would like to inform the chamber that the first minister has this morning written to Her Majesty the Queen and yourself [the presiding officer] indicating he intends to tender his resignation," he told MSPs on Thursday morning.

Tributes Paid

Speaking during a press conference with king Abdullah of Jordan, Tony Blair paid tribute to McLeish, saying his resignation would be a great loss.

Blair said McLeish was "somebody who has given a lot of his time to public service".

Scottish secretary Helen Liddell said: "I deeply regret that Henry McLeish has resigned as first minister. He has been a great servant to Scotland. He took over in difficult circumstances and even in a short year he has helped make devolution the success it is. Henry is a friend, he is a man of sincerity and compassion who has devoted his life to the service of the community. Under his leadership the Scottish executive has achieved so much.''

The SNP Leader, John Swinney, there would not have been calls for his resignation if the former first minister had admitted all at the beginning.

However, after the news that McLeish was standing down, he said: "I hope he is personally bearing up under the strain of all of this and obviously we will hear more this afternoon. My thoughts at this stage is that it is very much a matter for Henry McLeish and await to hear his statement further, but I wish him well."

The Scottish Tory leader, David McLetchie, said McLeish had done the right thing.

"Henry McLeish has done the right thing in tendering his resignation. I commend him on that," he said. "A line has been drawn and we must move on and focus in this Parliament on issues of primary concern to the people of Scotland," he said.

Fighting Back

Fighting back in a BBC Scotland interview on Tuesday, McLeish said he had not benefited personally from expenses he claimed from the Commons to finance his constituency office.

The first minister said he had raised £36,122 from sub-letting the office in Fife to five different tenants from 1987. The money was accrued while he continued to claim the full £8700 allowance for MP's rent. He failed to register the sub-letting with the Westminster authorities.

McLeish has already agreed to pay back £9000 to cover the period from 1998, a figure decided upon by the Commons fees office. But going a step further yesterday, he said he would pay back the rest of the £36,000 from his own pocket if the fees office requested it.