Scotland’s Deputy First Minister Kate Forbes has told SNP members to avoid discussing in public the party’s controversial plans for a Scottish currency.
The warning emerged in minutes from a meeting of her local party branch two months ago, ahead of First Minister John Swinney’s statement that a new currency would be launched as soon as possible after independence.
His plan, which involves continuing in the short term with the pound sterling, prompted a mix of alarm and scepticism among economists.
Dependency on the pound would mean an independent Scotland would have no control of monetary policy and be unable to join the EU, another of the SNP’s long term goals.
A separate currency would be rated alongside the Scottish government’s balance sheet which, currently, is heavily in deficit. This would require deep cuts to public spending and higher taxes.
Ian Stewart, a member of the deputy first minister’s local SNP branch, said that a minute from a party meeting included a “direct quote” from Ms Forbes, in which she told members the “official line” was that they “must avoid” open discussions about the currency.
Mr Stewart disclosed the minute at the Scottish Currency Group conference where he quoted Ms Forbes telling the SNP Skye branch: “We must avoid publicly talking about currency. The priority is an element of stability, and then move to a Scottish currency.”
Addressing the conference, Stewart said: “That’s from the deputy first minister. That was two months ago. That is her position.”
A spokeswoman for the SNP told The Times that the party would not comment on “hearsay” but did not dispute the accuracy of the minute.
Sam Taylor, chief executive of These Islands, the pro-UK think tank, said: “The SNP has no credible answer to the currency question, so no wonder Kate Forbes is pleading with members to stop talking about it.
“An independent Scotland would have to rapidly adopt a new currency, with no means of defending the value of that currency. The consequences for ordinary people would be horrific. This is why the SNP cannot be straight with voters.”
At the recent launch of his paper on independence, Mr Swinney claimed the Bank of England would bail out an independent Scotland in the event of a financial crisis, though economist Tony Yates, who worked at the Bank, said it would work solely in the interests of the remaining UK.
An SCG spokesman told The Times it was “not credible” to believe Scotland should carry on using “the currency of a foreign state” in the event of independence.
“If people in the SNP are saying that independence supporters should stay quiet about currency then they are completely misguided. Only when we provide clear, concise and accurate information to the public can we expect them to have confidence in independence.
“Concealing information from the public is a very good way to generate mistrust and suspicion.”
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