Quote:
Originally Posted by Mr Angry
Apologies. As I said, I'm not an economist however banks in Wales did at one stage print their own banknotes if I recall correctly.
I don't believe I did "miss" a point. It's a fact that the electorate of the UK were not asked to vote on the saving of the banking system.
The UK openly loaned seveal billions to Ireland in recent years to shore up their economy so loans and underwriting where there are national interests / assets are concerned are not entirely unheard of.
Clearly you have a far greater grasp of the fiscal side of things than I could wish to have but from a laypersons point of view when it comes to banking and matters of sovereignty things are never as clear cut as you or I would like them to be. To that end, and based on the recklessness of the bankers in recent years, I don't rule anything out when it comes to finances & independence.
EDIT:
Just researched the Welsh banknote history and I see you are right. They were a very limited promissory note run back in the 60's. Cheers.
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No problem. A number of English banks also issued notes, IIRC their right to do so lapsed if they closed down or were taken over - I need to do a bit more reading, it's an interesting part of our history. I believe the Scottish banks all still retain the right for, basically, political reasons.
The UK loan to Ireland amounted to £3.2 billion and, while it was offered bilaterally, it was a modest part of a larger international package of finance amounting to more than £50 billion.
The UK's bailout of its own banking system amounted, at its peak, to (wait for it ...) £1.1 trillion. £850 billion of that was thrown at RBS, a *Scottish* headquartered bank.
The Nats can say what they like about the healthy GDP of an independent Scotland, it simply would not have the cash, in absolute terms, to pay that sort of assistance to its own banking sector. With its own currency, it would have to print a fortune, devalue massively and wreck its international credit rating. Within a Sterling area, it would be down to rUK to ride to the rescue in order to protect Sterling for the sake of England, Wales and NI.
The UK's assistance to Ireland was, simply, a mere drop in the ocean and politically, and economically, it was perfectly defensible. The sorts of sums thrown at the Scottish part of the UK economy are, on the other hand, an entirely different matter and, IMO, just barely defensible so long as the money has been deployed within the domestic economy, to save the domestic economy. But to rescue a country that chose to alienate itself from rUK, opting to go its own way, but then needing that degree of rUK taxpayer help in time of need? That way lies serious trouble.