Wednesday, 3 September 2014
Withdraw your money from Scotland.
The Scottish National Party (SNP) thinks that in the event of independence it has a right to not honour its share of UK national debt if the rest of the UK (rUK) does not allow Scotland into a common currency area.
In fact rUK has a perfect right to bar Scotland from a common currency area. The reason is “Greece”, to put it bluntly. That is, in the Eurozone the combination of a common currency with a lack of political union, in particular a lack of fiscal union, is proving a DISASTER.
If Scottish nationalists are going to play the above “not honour our debts trick”, what other tricks might they try? My advice, if Scotland votes for independence is reduce any financial exposure to the place. Your money is not entirely safe. Lloyds Bank may get out.
Of course one contributory and emotional reason for the SNP’s desire to be in a close monetary union with rUK is that SNP politicians will be able to continue with what gives them their big emotional thrill each day: complaining about “Westminster”. I.e. if they had GENUINE independence from rUK, in particular no common currency, they’d no longer able to complain about Westminster: they’d be crying their eyes out.
Though on second thoughts, if they aren’t allowed into a common currency are, they’ll blame that on “Westminster”. Looks like we’re in for a few more decades of having to listen to SNP politicians whinging and whining about “Westminster”.