Salmond "We can take Scotland in two weeks"

[Old Greg]

From the BBC Scotland website - I don't see the 'greater clout' quote anywhere

Scottish independence would give the nation's profile its biggest ever boost in Europe, First Minister Alex Salmond has said.

Ahead of the 18 September referendum, Mr Salmond said a "Westminster elite" was jeopardising Scotland's EU future.

SNP ministers said an independent Scotland could negotiate EU membership within an 18-month timescale.

However, campaigners for the Union said nobody could trust a word Mr Salmond had to say on Europe.

Mr Salmond, who was campaigning in Edinburgh's Parliament Square - home to the old Scottish Parliament - hit out at Prime Minister David Cameron's offer of an in-out EU referendum, if the Conservatives won the next election.

"At a time when Scotland's European future is being placed in jeopardy by a Westminster elite obsessed by UKIP, it is becoming ever clearer that Scotland's European policy is best decided by people in Scotland," said the first minister.

'Enthusiastic member'

"An independent Scotland will be an enthusiastic member of the EU, in line with our long-held international and outward-looking focus and values.

"We'll be able to argue directly for Scotland's interests and win a better deal for our farmers, fishermen and others."

Scottish ministers, who previously argued the nation's EU membership would be "automatic" under independence, said Scotland's terms of entry would be negotiated "from within", given its current status as a UK member.

It would be nice to know Mr Salmond's latest views on the risks to EU membership through adopting sterlingisation.

[DodgyAgent]

I'm not sure this is true. If they have their own currency (which is the only viable option), they can set their own interest rates, although if they want to peg with sterling then this is restricted - but they have the option to revalue or unpeg, so the instruments are there.

And assuming they don;t renege on their share of sterling debt (which is a silly electioneering threat), why shouldn't they borrow at decent rates? They could use future oil revenues / existing oil reserves as collateral, which may be an attractive prospect to investors.

The big deceit at the heart of Alex Salmond’s Yes campaign - Telegraph

How can they borrow money when they have no bank of the last resort or currency of their own? The risk will be very high for lenders.

Three other alternatives exist – the hard peg of sterlingisation, the slightly softer peg of a currency board, or a completely free floating independent currency. The last of these possibilities has been all but ruled out – and for fairly obvious reasons. Scotland has a lot of debt, both public and private. As home to the UK’s two largest banks, total debt is off the scale relative to GDP once financial liabilities are also taken into account. It would be impossible for the new currency to stand behind such mountainous foreign currency obligations. And if sterling debt was redenominated in the local currency, it would be tantamount to default, creating a massive financial and economic crisis.

[Batcher]

It would be nice to know Mr Salmond's latest views on the risks to EU membership through adopting sterlingisation.

He is quite approachable. You should ask him.

[Mich the Tester]

So what happens next?

A majority of Scots says 'yes', then negotiations begin to divide out the riches/debts, which will lead to a sort of watered down 'independence' with some form of currency sharing, some kind of sharing of revenues from industries in which both countries have invested, some kind of mutual defence and border protection agreement, a free trade and travel agreement, and the Queen remains as monarch of Scotland, England and a load more places, as she is now.

Or; a majority of Scots says 'no', and then negotiations on 'devolution +' begin, ultimately giving Scotland more autonomy on public spending and taxes, more freedom to choose their own laws, perhaps a bit more choice in what bits of defence (like the nukes) stay in Scotland or go, and dear old queenie remains Queen of Scotland, England and a load more places.

Is it really going to make that much difference?

[Batcher]

The big deceit at the heart of Alex Salmond’s Yes campaign - Telegraph

How can they borrow money when they have no bank of the last resort or currency of their own? The risk will be very high for lenders.

Three other alternatives exist – the hard peg of sterlingisation, the slightly softer peg of a currency board, or a completely free floating independent currency. The last of these possibilities has been all but ruled out – and for fairly obvious reasons. Scotland has a lot of debt, both public and private. As home to the UK’s two largest banks, total debt is off the scale relative to GDP once financial liabilities are also taken into account. It would be impossible for the new currency to stand behind such mountainous foreign currency obligations. And if sterling debt was redenominated in the local currency, it would be tantamount to default, creating a massive financial and economic crisis.

The Torygraph again

As has been pointed out, we won't be home to two of the UK's largest banks as they will move their HQ down to London

[vetran]

The Torygraph again

As has been pointed out, we won't be home to two of the UK's largest banks as they will move their HQ down to London

bet they move their debts to Glasgow somehow.

[Old Greg]

The big deceit at the heart of Alex Salmond’s Yes campaign - Telegraph

How can they borrow money when they have no bank of the last resort or currency of their own? The risk will be very high for lenders.

Three other alternatives exist – the hard peg of sterlingisation, the slightly softer peg of a currency board, or a completely free floating independent currency. The last of these possibilities has been all but ruled out – and for fairly obvious reasons. Scotland has a lot of debt, both public and private. As home to the UK’s two largest banks, total debt is off the scale relative to GDP once financial liabilities are also taken into account. It would be impossible for the new currency to stand behind such mountainous foreign currency obligations. And if sterling debt was redenominated in the local currency, it would be tantamount to default, creating a massive financial and economic crisis.

The deceit is CU or sterlingisation (Panama solution).

CU won't happen. RUK will not accept it - here's Mark Carney this p.m. Currency union with independent Scotland unworkable, says Bank chief | Politics | theguardian.com

The Panama solution will not happen as Scotland is very unlikely to be allowed into the EU.

The above are just electioneering tricks to persuade wavering Yes voters of the safety of the £ in their pocket, and to pain the No campaign as nasty bullies.

So the only viable solution is an independent currency, and then borrowing is perfectly feasible.

[minestrone]

RBS used to pay more in corporation tax than the entire Scottish workforce paid in PAYE.

Obviously they are temporarily fooked right now but that is the level of company that is leaving.

The nationalists seem to discount this. Don't seem to bother.

[alluvial]

"An independent Scotland will be an enthusiastic member of the EU, in line with our long-held international and outward-looking focus and values.

"We'll be able to argue directly for Scotland's interests and win a better deal for our farmers, fishermen and others."

With all 6 MEPs? Same as Malta I believe.

[minestrone]

One is UKIP.