UPDATE: Scottish Independence - Scotland votes no
Despite winning a majority of votes in some areas - including the nation’s largest city Glasgow - the Yes campaign failed to secure enough support to win the historic referendum.
Mr Salmond’s deputy Nicola Sturgeon conceded defeat with a handful of results still to be declared.
The Deputy First Minister told the BBC there was a “real sense of disappointment that we have fallen narrowly short of securing a Yes vote”.
Prime Minister David Cameron revealed on Twitter he had congratulated Alistair Darling, the leader of the cross party Better Together campaign.
Mr Cameron said: “I’ve spoken to Alistair Darling - and congratulated him on a well-fought campaign.”
Scottish First Minister Mr Salmond tweeted: “Well done to Glasgow and to the people of Scotland for such incredible support.”
SNP MP Pete Wishart said on Twitter: “Obviously disappointed but congratulate the No campaign and will work with them and my fellow Scots to make my nation a better place.”
While there was a comfortable majority for Yes in Dundee, the turnout in the city was 78.8% - lower than many other parts of Scotland, indicating that the Yes campaign has not managed to get voters out in sufficient numbers.
The turnout in Glasgow was even lower at 75%, with 194,779 Yes votes (53.49%) and 169,347 No votes (46.51%).
“I’ve got mixed emotions,” Ms Sturgeon said.
“I’m absolutely thrilled at the Yes vote in Glasgow. This is our biggest city and it has voted Yes.
“I’m obviously deeply disappointed that it looks as if we, overall, are not going to secure a Yes vote, that we will fall narrowly short of that.”
She added: “I’m quite exhilarated by the campaign. What is undoubtedly the case is that people have voted for change tonight.
“We’ve got more than a million people voting for independence. Many of those who didn’t vote for independence will have voted No because they believed that substantial new powers were coming to the Scottish Parliament.
“Scotland’s never going to be the same again as a result of this fantastic campaign and therefore, yes, I’m disappointed but also absolutely determined to make sure that the demand for change that has been expressed in this vote is delivered.”
The victory for the pro-UK campaign comes after a long, hard fought contest.
In a bid to keep the UK together Mr Cameron, Labour leader Ed Miliband and Liberal Democrat leader Nick Clegg were forced to promise more powers would be transferred from London to the Scottish Parliament.
The Westminster leaders also vowed to retain the Barnett formula, the method of distributing cash throughout the UK that sees Scotland receive more per head in public spending than some other areas - a move which is likely to be unpopular with some Tory backbenchers.
While the No campaign won the referendum, Yes secured majorities in some of Labour’s traditional heartland areas - winning majorities in three local authority areas where it has a majority, Glasgow, West Dunbartonshire and North Lanarkshire.
Watch footage from across the country as Scotland made its historic decision.