It is widely acknowledged that one of the weaker aspectsof the 2012-14 Scottish independence campaign was thedebate around currency. The strategy of adopting a Sterlingunion with the rest of the UK, even after such a union hadbeen publicly dismissed by the pro-Union advocates, wasdeeply damaging in terms of both confidence in the proindependencecampaign itself and in uncertainty about thefuture of an independent Scotland.
Countries rarely have full control overall aspects of currency management simultaneously.Compromises must often be made, though differentcountries arrive at different solutions to those compromises.
Setting up a new currency, if anindependent Scotland chooses to do so, will involveplanning but the steps involved are well understood andopportunities arise for public involvement in some of them,particularly design of new notes and coins.
Currency options discussed include aformal currency union with either Sterling or the Eurozone;Unilateral use of either currency; or a new Scottish currency,dubbed the £Scot, managed under various options of fixed,flexible or floated pegs.
Whilst, economically, no single option islikely to be significantly better or worse than any other merely different the political weight tends towards therecommendation of a newly independent Scotland adoptingan independent £Scot, initially pegged to Sterling but withthe option of moving, changing or floating the peg as andwhen required or desired.