Standard Life warns it could move pensions and savings business to England if Scotland votes for independence
Pensions and savings giant Standard Life said today it is planning to move parts of its business to England if Scotland votes in favour of independence.
The Edinburgh-based firm, which has been based in Scotland for 189 years, revealed that it was making contingency plans in a statement issued by chief executive David Nish.
No bridges being built here: Endinburgh-based pensions and savings firm Standard Life reiterated its plans to transfer parts of its business to England today in the event of Scotland voting in favour of independence
Nish cited continued uncertainty over a range of key issues - including what currency an independent Scotland would use as well as taxation and consumer protection issues - as the impetus behind precautionary plans to move long-term savings held by UK consumers south of the Scottish border in order to 'help to ensure continuity and peace of mind.'
He said: 'In view of the uncertainty around Scotland's constitutional future, we have put in place precautionary measures which would help enable us to provide customers with continuity.
'This includes planning for new regulated companies in England to which we could transfer parts of our business if there was a need to do so.
'This transfer of our business could potentially include pensions, investments and other long-term savings held by UK customers.'
The firm added that if Scotland does vote Yes, 'we understand it would be at least 18 months before Scotland could become a separate country from the United Kingdom.'
Standard life first proposed plans to transfer its business south of the border in the event of a Yes vote in February.
In today's statement the company, which employs about 5,000 people in Scotland out of a total headcount of 8,500, stated that while it is proud of its Scottish heritage 'our responsibility is to protect the interests of our customers, our shareholders, our people and other stakeholders in our business.'
BP boss boost to No camp
Oil giant BP gave a boost to the No camp today as boss Bob Dudley insisted the North Sea oil industry is 'best served' by remaining in the Union.
Dudley warned that the future of long-term North Sea investment required 'fiscal stability and certainty.'
In February, he cautioned there were 'quite big uncertainties' over currency, European links and tax regimes if Scotland went alone, and backed comments from oil industry veteran Sir Ian Wood who said that Scottish people were being misled by forecasts of a new oil boom.
He added: 'As a major investor in Scotland - now and into the future - BP believes that the future prospects for the North Sea are best served by maintaining the existing capacity and integrity of the United Kingdom.'
The pensions and saving giant, which has around £254 billion of assets under administration, has previously issued pleas for clarity over issues surrounding Scotland's future, highlighting the concerns it has had about these uncertainties for its four million customers, its shareholders and staff.
In the event of a No vote, which could see more powers transferred to Scotland, it said it will continue to be listed on the London Stock Exchange and will 'monitor any impact that this may have on our stakeholders and take whatever action we feel is required.'
Responding to the Standard Life's statement, Scottish National Party leader Alex Salmond dismissed the company's contingency plans as 'nonsense' and 'scaremongering'.
Speaking at a pro-independence rally today he said: 'Standard Life have issued this around three or four months ago in terms of what contingency planning they are doing.
'Other major figures in the Scottish financial sector are taking exactly the opposite view. They are saying that there are substantial opportunities with independence.'
Meanwhile, the Financial Services Compensation Scheme said in a statement that if Scotland votes in favour of independence, it expects consumers will continue to have their money protected by it in the same way as they do now during the transitional period.
It said: 'FSCS protects consumers in UK authorised banks up to £85,000. We cannot speculate at this time on what the Scottish referendum might mean for consumers. This will depend on decisions to be taken by the Scottish government.
'However, EU directives place a clear requirement on countries in the EU to provide a deposit scheme. The current European limit is 100,000 euro.
'Scaremongering': Scottish National Party leader Alex Salmond dismissed Standard Life's statement regarding its contingency plans as 'nonsense' and 'scaremongering'
'The matter of Scottish independence is for the Scottish voters to decide. If the vote is in favour of Scottish independence, there is likely to be a transitional period.
'During any such period, we expect consumers will continue to be protected by the FSCS as at present, and compensation cover would continue unaffected.'
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