Introduction. Background Of Scotland’S Union With The Uk.

1726 WordsMar 13, 20177 Pages
Introduction Background of Scotland’s Union with The UK The debate on Scottish independence has been going on for centuries, and has continued long after Scotland joined the United Kingdom in 1707. “Suspicion and mistrust” between England and Scotland initially prevented a “union throughout the 17th century” (Johnson, 2014). The Scots had feared that they would become irrelevant within the UK, whereas the English felt that the Scots may “take sides with France” and rekindle the “Auld Alliance” (Gallagher, 2016). With Brexit putting Scotland’s access to the Single market at risk, there has been an intensified push for a Scottish referendum. Delving into the reasoning behind a pro-independence stance allows us to gain an understanding of…show more content…
Fiscal Stance Currently, England has been using “Scottish oil reserves for its own benefit”. As an energy-rich country with “24 billion barrels of oil to be extracted from the North Sea” (Calder, 2013), Scotland has the potential to boost economic growth with a “second oil boom” of between £6.9bn-7.9bn for the “first year of separation” (Johnson, 2016). Oil and Gas Reserves in the North Sea could help Scotland gain it its “economic independence” (The Guardian, 2015) as the “anticipation of higher oil prices” is expected to provide a “lucrative source of tax revenues” (Keating, 2017). However, the falling revenues disclosed by the North Sea coincide with the “sinking oil prices” (Keating, 2017) at the start of 2015, portraying the volatility of such commodities, as tax revenues from North Sea oil and gas production tend to be unstable over time. Therefore, an economy based largely on oil would be “too subject to oil 's price fluctuation” (The Guardian, 2015), leaving Scotland in a more vulnerable position than it already is in. Considering that Scotland’s fiscal stance is based on an uncertain commodity market and an ambiguous hope of joining the EU, Sturgeon’s belief that a shortfall would be compensated through additional economic growth is questionable. Potential Benefits of Independence Currency Alternatives The Scottish Independence debate has been

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