The future of United Kingdom monetary union and Scottish independence

Andrew Campbell

The people of Scotland will have the opportunity to vote in a referendum in September 2014 on whether to become an independent country or to remain part of the United Kingdom. This article examines the currency options which may or may not be available to an independent Scotland. The preferred options of the Scottish Government are to retain the pound sterling within a formal currency zone with the rest of the United Kingdom and also to be a Member State of the European Union. The article examines the feasibility of the Scottish Government's proposals, paying particular attention to the interrelationship between EU membership and choice of currency. This is a matter that is of relevance to all Member States of the EU and not just Scotland.

Law and Financial Markets Review, Vol. 7, No. 5, Sep 2013: 239-249.

http://dx.doi.org/10.5235/17521440.7.5.239