Scotland’s ‘jolly fat man’ Alex Salmond has been given a rude wake up as he hears from Mark Carney that sharing sterling between an independent Scotland and the rest of the UK could lead to a eurozone-style crisis.
Rather than being able to say he has pulled one over on the English, Salmond is now in a worse position than he previously was on currency.
What he should have done was put in place was how the Scottish pound would operate if independence happened.
But Salmond and Scotland’s unpopular Deputy First Minister Nicola Sturgeon did none of the required work, they staked everything on sharing Sterling and they have lost.
Bank of England governor Mark Carney also said for Salmond’s dreadful idea to work that he would be forced in a newly-independent Scotland to hand over some national sovereignty.
So, no real independence, Scotland financially controlled from England which would be a foreign country with their priority being to secure England’s wealth.
"If such deliberations ever were to happen, they would need to consider carefully what the economics of currency unions suggest are the necessary foundations for a durable union, particularly given the clear risks if these foundations are not in place."
"Those risks have been demonstrated clearly in the euro area over recent years, with sovereign debt crises, financial fragmentation and large divergences in economic performance. The euro area is now beginning to rectify its institutional shortcomings, but further, very significant steps must be taken to expand the sharing of risks and pooling of fiscal resources. In short, a durable, successful currency union requires some ceding of national sovereignty. It is likely that similar institutional arrangements would be necessary to support a monetary union between an independent Scotland and the rest of the UK."
He finished by adding:
"Decisions that cede sovereignty and limit autonomy are rightly choices for elected governments and involve considerations beyond mere economics. For those considerations, others are better placed to comment."
So, Salmond would be selling Scotland down the river, because everything would be taken out of his hands, so much for his sticking up for Scotland crap.
UK ministers including Chancellor George Osborne have already cast considerable doubt on whether any financial arrangement is possible but Salmond and Sturgeon ploughed on after painting themselves into a corner.
The SNP have been caught out.
And let us get it straight Carney said any negotiations are for Westminster and Holyrood.
It is a political decision, so Salmond’s talk with Carney doesn’t mean he can go behind Westminster’s back.
Carney is pretty clear on that point:
"Any arrangement to retain sterling in an independent Scotland would need to be negotiated between the Westminster and Scottish parliaments."
A Treasury spokesman said the Scottish Government needs a "Plan B" for currency.
The Nationalists don’t have it to try and go Scottish pound now leaves them open to charges of incompetence, it’s all too late for Salmond and Sturgeon, the dreadful White Paper has been published and found wanting, very much so.
Salmond cheerleader Kenneth Gibson, the SNP convener of Holyrood's finance committee, said a sterling area is achievable.
So is manned space flight but it costs a hell of a lot and people think twice before sending anything up.
Scottish Conservative leader Ruth Davidson said Alex Salmond wants Scotland to have its cake and eat it by expected a union but retaining control over tax and spending.
That isn’t going to happen; there wouldn’t be a ‘partnership of equals’ as the SNP keep lying to the Scottish public. Westminster will hold all the levers and therefore the SNP will come to the conclusion that the Euro is the place to be citing a ‘hateful’ England as justification; that assumes that Salmond can get EU membership in the first place.
It has all gone wrong for Salmond and Sturgeon because they are too lazy, too stupid and run a party which is kept too ignorant.
Ruth Davidson added:
"The governor of the Bank of England has blown this assertion right out of the water, leaving Alex Salmond's currency plans in tatters. He concludes that one of the main lessons to draw from the Eurozone crisis is that to have a durable, successful currency union requires some ceding of national sovereignty."
Scottish Liberal Democrat leader Willie Rennie said:
"A half in, half out version of our current union would offer Scotland the worst of all worlds. The SNP's independence plans would see Scotland's tax policy set by an unelected central bank operated by another country. There would be no central lender of last resort to back up our banks and a border smack bang in the middle of our successful UK single market."
So, it is all failure as per usual from the ‘rat ship’ members of the Scottish National Party, even their pathetic attempts to win over the women’s vote is going ‘tits up’.
Scotland’s unpopular Deputy First Minister Nicola Sturgeon as the ‘face of independence’ was a huge massive mistake; she can’t win over women or men without a series of election ‘bribes’ to back her.
Little Ms. Popular, I think not!
The Unionists let Alex Salmond and unpopular Nicola Sturgeon burn time, money and resources when the outcome on currency was already decided and out of their hands, they fell straight into a trap.
How stupid is that?
The Campaign for Human Rights at Glasgow University