We have identified over 650 questions and answers concerning many of the topics featured on this site. The information is categorised and can be reached by navigating via the entries below.

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What currency will an independent Scotland use?

We propose that the pound Sterling will continue to be the currency of an independent Scotland.

Source: Scotland's Future, Scottish Government, November 2013.

Will Scotland join the Euro?

No. The current Scottish Government is clear that Sterling should continue to be the currency of an independent Scotland.

Source: Scotland's Future, Scottish Government, November 2013.

Will an independent Scotland have control over fiscal policy?

With independence, Scotland will have full control over fiscal policy, with full powers on taxes, spending and borrowing. Currently, the Scottish Parliament is responsible for just 7 per cent of taxes raised in Scotland. Even with the new tax powers of the Scotland Act, this figure will only increase to around 15 per cent. Only with independence will Scotland have full control over 100 per cent of tax revenue and fiscal policy.

Source: Scotland's Future, Scottish Government, November 2013.

Will an independent Scotland have control over monetary policy?

Day-to-day monetary policy would be decided independently of government by the Bank of England as it is now, taking account of economic conditions across the Sterling Area. The Scottish Government would seek formal input into the governance and remit of the Bank of England.

Source: Scotland's Future, Scottish Government, November 2013.

Why would an independent Scotland wish to remain in a currency union with the rest of the UK?

A shared currency is in the economic interests of both Scotland and the rest of the UK, as key trading partners. It will make it easier for people and companies to go about their business across the two countries.

Source: Scotland's Future, Scottish Government, November 2013.

How can Scotland be independent if we keep the pound?

Independent countries around the world share currencies. Countries like France, Germany, and the Netherlands do not have their own currency but are independent, and control their own resources.

This approach makes sense for Scotland and the rest of the UK, because it will make it easier for us to trade with each other and will also mean that things like our mortgages and pensions will continue to be paid in pounds and pence, just as they are today.

Source: Scotland's Future, Scottish Government, November 2013.

What contribution would an independent Scotland make to the Sterling Area?

Scotland is the second largest export market for the rest of the UK. It would be damaging to jobs in England, Wales and Northern Ireland, and to the economy of the rest of the UK, if Scotland did not continue to use the pound. It is estimated that the rest of the UK exported £59 billion to Scotland in 2012 – trade that supports tens of thousands of jobs elsewhere on these islands.

Continuing to share the pound with Scotland will also be beneficial for the value of Sterling. The Sterling Area’s balance of payments will be supported by Scotland’s broad range of assets and exports, including North Sea oil and gas. North Sea oil and gas production boosted the UK’s balance of payments by £39 billion in 2012/13.

Source: Scotland's Future, Scottish Government, November 2013.

What would happen to Scottish banknotes in a Sterling Area?

Scottish banknotes will continue to be issued as at present.

Currently Scottish banknotes are issued by three authorised commercial banks in Scotland and are fully backed by Sterling balances held at the Bank of England – meaning they are recognised and accepted as being of equal value to Bank of England notes.

Source: Scotland's Future, Scottish Government, November 2013.