Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Salmond fights back with currency plans ahead of referendum

27 comments
Salmond fights back with currency plans ahead of referendum

Scotland’s First Minister Alex Salmond scored a win against Better Together leader Alistair Darling after clashing over Scottish independence ahead of the referendum.

Following the debate, a Guardian and ICM poll revealed that Salmond (pictured) had won 71% of the viewers’ votes, taking victory over Darling’s 29%.

Despite previously being unable to answer what his plan B was should an independent Scotland not be able to use the pound, Salmond said he had three plan Bs but was seeking a ‘mandate’ from the Scottish people to negotiate to share the pound.

According to the Financial Times, Salmond said Scotland could use the pound without formal union, a situation known as ‘sterlingisation’, or could adopt an independent currency either pegged or floating.

Darling replied: ‘You are taking a huge risk if you think it is just all going to fall into place. I think the currency union would be bad for Scotland because our budget would have to be approved not by us, but what would be a foreign country.’

However he later admitted that Scotland could still use the pound even if an agreement with the rest of the UK failed.

Darling also hit out at Salmond over the risks of going independent, including an over-reliance on unpredictable oil revenues.

He questioned the North Sea oil revenue figures quoted by the Yes campaign and said: ‘You are promising all sorts of things on the basis of revenue that is very volatile. To rely so much on something… it is gambling our children’s future which is totally unacceptable.’

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Volatility is back, Europe's future & Ethical's key moment

Volatility is back, Europe's future & Ethical's key moment

This week’s episode of Investment Pulse takes a look at European prospects, FTSE volatility and whether public pressure is about to provide a push for ethical investment

Play Volatility spike: How ETFs can soften the blow

Volatility spike: How ETFs can soften the blow

ETFGI’s Deborah Fuhr discusses the role of ETFs in client portfolios during volatile market conditions

Play Winter market warmers, the post QE world and timing the Fed

Winter market warmers, the post QE world and timing the Fed

This week’s episode of Investment Pulse looks at the winding down of quantitative easing, whether to try and time a US Federal Reserve rate rise and if strong seasonal performers can reverse recent market slumps

Wealth Manager on Twitter