The problem is your needle. Use a ball pointed needle as small as possible. A ball pointed needle should not cut the yarns in the fabric as the needle penetrates the seam but shift the yarns to one side. This also requires a small diameter thread.

There's more here:
http://www.amefird.com/reducing_needle.htm

Halloween Tea Cosy Knitting Pattern – Skull

Not even the teapot can escape the Halloween festivities if you make this Halloween Skull tea cosy. The Skull tea cosy is made from double thickness yarn for extra insulation.

This tea cosy was designed by TeaCosyFolk.co.uk

To make the (White) Skull tea cosy you will need...

5.5 mm, UK size 5 or US size 9 knitting needles,

50g White Double knitting wool,

25g Black Double knitting wool,

And the Skulls face pattern which can be printed off at the link below

Divide the Black and White balls of wool into two balls so that the yarn can be used as double thickness but knitted up as a single strand.

The Back

Using size 5.5mm knitting needles and double thickness white yarn cast on 28 stitches and work 4 rows in straight garter stitch (Knit each row)

Then work 22 rows of Stocking Stitch (one row knit, one row purl)

Leave the stitches on a spare needle until later.

The Front

Using size 5.5mm knitting needles and double thickness white yarn cast on 28 stitches and work 4 rows in straight garter stitch

Then work 20 rows from the pattern to create the skulls face.

Row 21: K

Row 22: P

Shaping the top...

Using Red wool as a double yarn proceed to knit across the tea cosy front and then tea cosy back as Follows...

Shaping the top Row 1: *K5, K2 tog* repeat to end

Next and every alternate row Purl.

Row 3: *K4, K2 tog* repeat to end.

Row 5: *K3, K2 tog* repeat to end.

Row 7: *K2, K2 tog* repeat to end.

Row 9: *K1, K2 tog* repeat to end.

Row 11: *K2 tog* repeat to end.

Thread the end of the yarn through the remaining stitches and through the loop of the yarn itself and draw up the knitting tightly and Finnish off.

With the front and back right sides together, sew about 9.5cm from the finishing off point down the side seam towards the cast on edge.

At the bottom of each side seam, sew about 3cm upwards. The holes are left for the teapot handle and spout.

Finish off all the ends inside the tea cosy left over from knitting the face.

About the Author

For the free print out of the skull face please click here Halloweenmania/skull-tea-cosy-knitting-pattern
The Skull tea cosy was designed by TeaCosyFolk.co.uk – Tea cosies with character.