Oral Answers to Questions

Michael Connarty Excerpts

Wednesday 7th May 2014 Commons Chamber

[Mr Carmichael]

My right hon. Friend puts it perfectly. The difference between an asset and an institution is not a difficult one to understand, but the Scottish nationalists do seem to struggle with it.

[Michael Connarty (Linlithgow and East Falkirk) (Lab)]

5. What discussions he has had with Ministers in the Scottish Government on a potential currency union with an independent Scotland.

[The Secretary of State for Scotland (Mr Alistair Carmichael)]

I have not had any discussions with the Scottish Government about the prospect of a currency union. The Chancellor, Chief Secretary and shadow Chancellor have all said there will not be a currency union. The only way to keep the UK pound is to stay in the UK.

[Michael Connarty]

I thank the Secretary of State for that reply. Having read the fiscal commission’s report, it is clear that it took the advice that I have been giving Scottish National party colleagues here that they would be destroyed if they went into the eurozone, where the stability and growth pact would destroy their economy. If they have no currency union with the UK, exactly what prospects are there for the 8% deficit that Scotland is running at the moment?

[Mr Carmichael]

The position is very clearly laid out: the difficulties that would be created by the currency union would be difficulties for the whole of the United Kingdom, but particularly for the people of Scotland. If we are to be independent, we need to be independent with all that that means. It is not possible to be half independent.