Sweater with Lace Squares

How to knit the Sweater with Lace Squares:
Size: EU 38/40 (US 8/10, UK 10/12).
Materials:
600 g yarn (100% cotton, running length approx. 115 m/50 g). A pair of knitting needles size 3 mm (US 2.5, UK 11) and one circular needle size 3 mm (US 2.5, UK 11), 40 cm long.
Stockinette Stitch: Right Side Rows – knit stitches, Wrong Side Rows – purl stitches.
Lace Squares (Main Pattern):
Work according to the chart. Only Right Side Rows are shown.
On Wrong Side Rows, work the stitches as they appear, purl the yarn overs.
Repeat rows 1–44 throughout.
Gauge: 22 stitches and 33 rows = 10 x 10 cm (4 x 4 in).
Instructions:
Back:
Cast on 105 stitches and work 14 rows as follows: 6 rows in stockinette stitch, in the following Right Side Rows *work 1 yarn over and knit 2 stitches together*, always work 1 edge stitch at each side. On Wrong Side Rows purl all stitches and yarn overs. Then work another 6 rows in stockinette stitch.
Continue in the main pattern. After the edge stitch, begin with the 4th stitch of the repeat, work the repeat to the end, then work 2 full repeats, and in the following repeat end with the 22nd stitch + 1 edge stitch.
At the same time, increase 1 stitch on each side in every 26th row 4 times = 113 stitches. Work the increases in stockinette stitch.
At 62 cm (24½ in) height, for the neckline bind off the center 33 stitches and on each side bind off 5 stitches once and 2 stitches once, in every 2nd row.
At 64 cm (25¼ in) height, bind off the remaining shoulder stitches.
Front:
Work as the back until the neckline.
At 58 cm (22¾ in) height, bind off the center 11 stitches and on each side bind off 4 stitches once, 3 stitches twice, 2 stitches three times and 1 stitch twice, in every 2nd row.
At 64 cm (25¼ in) height, bind off the remaining shoulder stitches.
Sleeves:
Cast on 56 stitches and work the first 14 rows as for the back.
Continue in the main pattern. In the 1st row, after the edge stitch, begin with the 14th stitch of the repeat, work the repeat to the end, then work 1 full repeat, and in the following repeat end with the 11th stitch + 1 edge stitch.
At the same time, for the sleeve shaping increase 1 stitch on each side in every 6th row 2 times, then in every 4th row 30 times = 120 stitches.
At 46 cm (18 in) height, bind off all stitches.
Finishing:
Block the pieces and gently press from the Wrong Side.
Sew all seams and set in the sleeves.
Fold the lower edge of the sweater and the sleeve edges to the inside along the first lace row and sew them in place.
Pick up approximately 90 stitches along the neckline with the circular needle and work 5 rounds in knit stitches. In the next round *work 1 yarn over and knit 2 stitches together*, then work another 6 rounds in knit stitches and bind off.
Fold the neckband to the inside along the lace round and sew in place.