Re: if the scots go, do you care?
 

'Absolutely not an option'. Why is this not an option? As your own article states, it would be the option which makes economic sense for both parties. The only reason the UK would refuse a currency union would be out of pure spite. Can't see it happening.

Good piece on currency issue: http://www.businessforscotland.co.uk...cottish-pound/

Re: if the scots go, do you care?
 

There is absolutely no logical reason for the rUK to adopt a currency union with iScotland. If a currency union is the desired option then that is provided for by the present constitutional arrangements.

Re: if the scots go, do you care?
 

+1

Re: if the scots go, do you care?
 

It's a simple choice.........

Peter Jones: Independence or the pound - which? - The Scotsman

Re: if the scots go, do you care?
 

Good article. The currency issue seems to have really ignited the debate in the last few weeks, after being largely ignored for months except in some fairly esoteric economic discussions. I love that Wee Eck prattles on about the "sovereign wish of the Scottish people" without giving a thought to the possibility that there's a bunch more people south of the border whose sovereign wish has not been expressed at all.

If Scotland separates, and the Scottish taxpayer no longer contributes to the UK exchequer, then there is no earthly reason why the Bank of England (backed by UK tax revenues as required) would prop up a Scottish bank collapse. Nor, without a central bank of their own, would it be easy for Scotland to stave off the financial ratings agencies, with credit status downgraded and interest rates pushed up fairly quickly after independence.

So, either a client currency of the rUK, or the "Scottish Pound" printed by the RBS (82% owned by the British government), BOS (a subsidiary of Lloyds) and Clydesdale (a subsidiary of the National Australia Bank), pegged at 1:1 with the UK pound, but with minimal central bank support. A hike in interest rates as currency speculators and foreign creditors become concerned for Scotland's ability to honour its debts. Increasing fiscal policy nightmares in keeping the Scottish pound pegged at par. Hyperinflation and ignominious devaluation to follow?

The Nats can't have it both ways. If they want independence, then bloody well man up and accept that a significant consequence of political disunion is currency disunion. It is not feasible to have one without the other.

Re: if the scots go, do you care?
 

Bank of England notes are already in use in Scotland and accepted with no problem but as a member of the audience said in the televised debate ,try paying a London cabbie with a scottish 20 pound note and see how far you get but hey we are a union eh.

Re: if the scots go, do you care?
 

A modest dose of reality.........

Scottish Banknotes Legal Position - The Committee of Scottish Bankers (CSCB)

Re: if the scots go, do you care?
 

Let's say the vote goes "Yes" and Scotland separates. We all get that the currency issue will be an issue but do you think that if it happens nothing will happen to the "British pound" and it will merrily chug along?

Re: if the scots go, do you care?
 

Pretty much. It may go up or down a few cents, but it's not suddenly going to be worth $5 or $0.50 just because there's now a border along Hadrian's Wall again.

Besides, the whole 'currency union' thing is silly when the Nats want 'independent' Scotland to rejoin the EU, which would require signing up to adopt the Euro ASAP.

Re: if the scots go, do you care?
 

I seem to recall reading that a country wishing to join the Euro has to track the Euro for a few years. This requires the country to have it's own currency and central bank. iScotland would have to establish it's own currency first.

Re: if the scots go, do you care?
 

Is Salmond desperate or duplicitous? As a former economist he would know that currency union, though possible, is a stretch, but he is hell-bent on providing a popular solution to the voters. He knows that losing the pound would be a tangible "disadvantage" for many uncertain Scots, so is now obsessed with presenting the pound as something which will be retained. This aspect of the debate is becoming surreal.

Re: if the scots go, do you care?
 

To each their own but I don't think so.

Re: if the scots go, do you care?
 

What are you anticipating would happen?

Re: if the scots go, do you care?
 

Salmonds position appears to be that London and the EU are bluffing about Scotland not being able to go forward with either the pound or the Euro in the event of independence.

He doesn't appear to have a plan B

Does this seem like a rational basis to appeal to voters that you are the leader they need to take them into this brave new independent world? "Its a bluff, no, really it is" Jesus. God help them if they are stupid enough to vote for independence based on that... But then the whole "Yes" vote seems to be based an emotional appeal rather than rationality.

Re: if the scots go, do you care?
 

Why? Scotland is less than 10% of the population, and, depending on who you listen to, is either a small benefit to the UK economy overall, or a small cost.

Even if Wales and Wessex were to leave as well, that would barely make a dent in the UK economy.