Independence will improve Scotland’s economy

12.08.2014

Scottish Government published “A Jobs Plan for Independent Scotland”, where it described in details which measures will be taken in the country as soon as it becomes independent from the British crown.

At the beginning of the document the government stated that because of the lack of independence country has not have an ability to decide its economy, job market and employment. Meanwhile, there are all conditions for the creation of progressive and effective job market in Scotland.

As an independent state Scotland will also gain the possibility to decide on the taxation matters within the country. Moreover, the key moment for the improvement of the country’s economy Scottish government sees in performing of the independent taxation policy. So, it was calculated that the decrease of the corporate tax rate in 3% will create 27 000 new jobs.

Improvement of the regulation of financing and taxation of R&D is considered as a necessary measure for the improvement of the economic situation in the country. Due to this the creation of Scotland Innovation Agency and Scottish Business Development Bank is planned.

Source: http://www.scotland.gov.uk/Resource/0045/00457476.pdf

Expert’s opinion

For many years Scotland tries to become independent for United Kingdom, but does not succeed. Nonetheless, governmental documents are being released with the idea of Scotland being already independent. Well, as the saying goes, the thoughts create reality, and if you want something bad enough, it will happen.

But if consider this seriously, than even being a part of Great Britain, Scotland always succeeded in keeping its autonomy in all main spheres – legal, political, economical and social. For example, business in Scotland is separated from English business, which is proved, at minimum, by the existence of the own register of companies (not Companies House). It is also true, that with regards to the double tax avoidance treaties Scottish companies are covered by those agreements that were concluded by United Kingdom. The decrease of the corporate tax rate will make this jurisdiction even more attractive for the business and will have a positive impact on the economic situation in the country.

In the future in case of the independence from United Kingdom Scotland may establish legal basis for doing business in jurisdiction by itself without any word from UK. Nut the real results of the such “autonomy” could be seen only after the certain time has passed.

Anna Shevchenko ( Lawyer, Honest & Bright)