Where exactly is the currency problem?

From Mr David Simpson, Tyninghame, East Lothian, UK

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Sir, May I assure Martin Wolf (“What happens after a Yes vote will shock the Scots”, Comment, September 13) that our desire for independence is not based on any repudiation of England, but rather on a wish to take responsibility for our own affairs.

It is perhaps because Mr Wolf has not grasped this that he has allowed common sense to desert him and has resorted to uncharacteristically extravagant language. An exhortation to Scots to move their money south is the height of irresponsibility.

He asserts that “the biggest doubts are those hanging over the currency”, then states terms for a formal currency union acceptable to the remaining UK. These look to me to be quite acceptable to Scotland as well. So where is the currency problem?

Mr Wolf’s suggestion that a UK government would allow a “credit squeeze to happen” to punish the Scots for voting Yes is strange. In his anxiety to shock us, he seems to have forgotten that the remaining UK could have no interest in financial instability in Scotland as it could not avoid being damaged itself.

He goes on to repeat fallacies disproved in the debate. Scottish negotiations to become a member state of the EU will not be blocked by the Spanish government. Scotland cannot be forced to join the European exchange rate mechanism. And a sovereign Scotland’s share of North Sea oil reserves will be decided by international law, not by a UK government.

Mr David Simpson, Tyninghame, East Lothian, UK

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