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Treasury: Scottish people '£1,400 a year better off in UK'

Scottish people will be £1,400 a year better off if the country remains in the UK, Chief Secretary to the Treasury Danny Alexander said. However, the Scottish government claimed an independent country could be £5 billion a year better off.

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Alex Salmond: Alexander 'caught red-handed' on costs

Alex Salmond claims Danny Alexander has been "caught red-handed" with "scaremongering" claims about the impact of Scottish independence.

The SNP leader told the BBC the Treasury's calculations had been "blown to smithereens" by the same academic whose work underpins the British Government's analysis.

Professor Patrick Dunleavy of the London School of Economics said Treasury figures about the cost of setting up a new independent government were "bizarrely inaccurate".

Mr Salmond seized on Professor Dunleavy's words, saying: "We have the Chief Secretary to the Treasury left with no credibility whatsoever. He’s been caught red-handed engaged in a scaremongering campaign.”

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