Treasury: Scottish Government needs a Plan B

Economics Editor Richard Edgar is in Edinburgh and listened to the Bank of England governor's speech on how a newly-independent Scotland could retain sterling:

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Treasury's blunt response to Carney's speech: "A currency union is highly unlikely to be agreed. The Scottish Government needs a Plan B.”

Read Richard's analysis of the Bank of England governor's speech

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Scotland 'can't have complete independence if it keeps pound'

The Bank of England Governor Mark Carney has warned that a newly-independent Scotland would not have complete economic independence from the rest of UK if it wanted to keep the pound. He has held talks with Scotland's First Minister over the issue.