roddy
@roddy
@roddy
The Real Reason why Britain is Freaking out
About
- Followers 4
- Following 0
- Updates 458
4 Followers
Reiteration that Scotland's oil is needed to underpin Britain's massive debt. The key points in this article are:
(1) The UK can now borrow cheaply using the giant Scottish oil reserves as collateral
(2) If Scotland leaves, the collateral (oil reserves) is no longer available
(3) So the cost of borrowing money for Britain skyrockets
Understanding this is crucial because BRITAIN CANNOT AFFORD TO LET SCOTLAND GO. Quite what extent they would go to, to keep us remains to be seen but it would appear that the only way forward would be to give Britain a life-line. We might have to start by letting them continue to have their debt underpinned by the asset value of our oil for say, ten years. Quite how this could be done without them having the revenue remains to be seen - perhaps by way of a guarantee. The point is that Britain is making a spectacular recvery from the Recession, even though borrowing is still going up. Nevertheless, one would hope that they would be able to "stand on their own two feet" ten years after Scotland had left. It would also require Britain to downscale on embassies, military engagements abroad etc.and be more realistic about their position in the world