Yanis Varoufakis explained that the European Union considers Brexit a “major defeat” and would allow Scotland to join the bloc. The SNP and Scottish independence supporters were strong opponents of Brexit and said they would like to join it at some point in the future. But Scottish businesses and economists have warned it could be a disaster for Scotland as they would need their own central bank and currency before joining.
Mr Varoufakis spoke to the new statesmen on whether Scotland could join the European Union and the problems it will face.
The economist was asked if the EU would host Scotland, to which he replied: ‘Within ten seconds.
He was then asked if this decision would be taken to upset the UK over Brexit.
Mr Varoufakis said: “Yes of course, and you know that the elites of the European Union see Brexit as a major defeat.
“They might not say it, but they see it as a major defeat.
“And so they will take the opportunity to get revenge on Boris Johnson and the Tories by bringing in Scotland, there is no doubt about that.”
Mr Varoufakis was then asked his opinion on Spain’s opposition to Scotland’s EU membership and whether he thought it was a “red herring”.
There were rumors that the Spanish government is opposed to Scotland joining the EU as this would fuel independent support for Catalonia as Scotland would have to be independent to join.
But some political experts believe the concerns are overblown.
Mr Varoufakis added: “Spain does not like the idea of Scottish independence, but at the same time it is really a fait accompli.
“If Scotland is independent and asks to become a member of the European Union, it may take a few hours for the German Chancellor and the French President to twist the arm of the Prime Minister of Spain – whoever the Prime Minister is Spanish.”
Critics of Scottish independence have looked at the economy behind it and, more importantly, the issue of currency after any successful independence campaign.
Scotland can choose to keep the pound sterling, but that would mean Scotland would not have control of the currency as the Bank of England could put them on unfavorable terms.
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The northern nation may decide to introduce its own currency, but economists fear it may be 20% weaker than the pound sterling.
It would also mean that many contracts, loans and other financial arrangements might have to be rewritten as they are signed for the pound.
In addition, Scotland could adopt the euro and join the European Union, which would require it to have its own central bank.
Scottish Business UK trading body CEO Struan Stevenson has warned the move could mean Scotland will see three different currencies in a short period of time.
He explains that it would be disastrous for Scottish companies as the uncertainty would not bode well for them.
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Source: feedproxy.google.com
This notice was published: 2021-06-25 10:35:00
