Scottish independence referendum: CBI Scotland urges early vote

The business group said its membership is “at one” with the group’s formal position that the question should be asked sooner than autumn 2014.

Director Iain McMillan outlined the views following a meeting in Edinburgh with Scottish Secretary Michael Moore.

The meeting, featuring figures from finance, transport, law and construction, among representatives from other sectors, was set up by the CBI and comes as the British and Scottish governments begin consultations on the way forward for the ballot.

Mr McMillan said: “This was a broader turnout from membership, and the mood in that regard was very much at one with the position of the council of CBI Scotland - and that is that the referendum should be held sooner rather than later.

“All the issues around that were fairly clear in our own minds. We live in very difficult economic circumstances. At the moment we see some firms closing down, we see people losing their jobs.

“As I said in my new year message, we need our politicians of all the parties from both jurisdictions to focus their entire attention on getting people back to work and getting our economy back in good shape.”

Mr McMillan said legislation could be in place to allow a referendum in spring next year, if parliaments agree to move quickly.

He also said businesses do not want to get drawn into political debate, preferring instead to focus on their companies, and spoke of concern over the potential upheaval that independence could bring.

He called for clarity on what would happen with EU membership and he raised concern about any possible new currency.

Mr McMillan said: “The problem with Scotland having its own currency is that there would then be an exchange rate between Scotland and England.

“Doing business at the moment across the border between Scotland and England is very straightforward to do. We share the same currency; by and large we share the same laws and rules of England. It’s very straightforward.

“If Scotland has a different currency, cross-border business would have to take into account exchange rates, the cost of exchange, the risk of the exchange rate moving. There would have to be hedging to manage the risks of dealing in a separate currency. I think that would make doing business across the border much, much more difficult than it is at the moment.

“Nearly 50% of all Scotland’s exports are to England, not the outside world. That would be a very, very difficult position for Scotland to be in.”

Mr McMillan said he favours a straight Yes-No question in a ballot overseen by the Electoral Commission, rather than a specially created Scottish body.

The comments were made after a week of highly-charged debate between Holyrood and Westminster on the staging of the referendum.

Arrangements are being made in the next few days for Prime Minister David Cameron and the First Minister to discuss the issue, possibly after Mr Salmond publishes his consultation plan next Wednesday.

Talks will include the legality of the ballot, which the UK Government says can only rest with Westminster.

That position was highlighted again today by Lord Wallace of Tankerness QC, the Advocate General, who said the Scottish Government risks flouting a “fundamental principle of democracy” if it stages its own referendum.

Mr McMillan touched on the subject, adding: “It is highly questionable whether the Scottish Government has the authority to hold a referendum, and indeed the Scottish Parliament, to legislate for one.

“The two governments should co-operate. They should come together to settle the matter.”

As well as disagreement on the timing, there is a clash on the referendum question, with Westminster preferring a straightforward Yes or No to independence and the SNP suggesting an additional option of further devolution, so called “devo max”.