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Scottish independence: Cost of new bodies 'could be £1.5bn' | Scottish independence: Cost of new bodies 'could be £1.5bn' |
(about 9 hours later) | |
The cost of setting up all the bodies needed in an independent Scotland could be £1.5bn, the UK Treasury has claimed. | The cost of setting up all the bodies needed in an independent Scotland could be £1.5bn, the UK Treasury has claimed. |
It based the figure on research into the costs of setting up an independent state in Quebec, which have been estimated at 1% of GDP. | It based the figure on research into the costs of setting up an independent state in Quebec, which have been estimated at 1% of GDP. |
The Treasury also said that the costs could be nearly twice as much, if based on London School of Economics research. | The Treasury also said that the costs could be nearly twice as much, if based on London School of Economics research. |
The Scottish government said the analysis was "deeply flawed" as much of the infrastructure already exists. | |
The Treasury claimed Scottish ministers wanted to create 180 public bodies, which led the LSE to a figure of £2.7bn. | The Treasury claimed Scottish ministers wanted to create 180 public bodies, which led the LSE to a figure of £2.7bn. |
Its research estimated the cost of setting up each new department at £15m. | Its research estimated the cost of setting up each new department at £15m. |
The Treasury said that, while it had used a more conservative figure in its own analysis, the £2.7bn costing was "reasonable". | The Treasury said that, while it had used a more conservative figure in its own analysis, the £2.7bn costing was "reasonable". |
It called on the Scottish government to publish its own estimates for how much it would cost to set up the organisations needed to run a country. | It called on the Scottish government to publish its own estimates for how much it would cost to set up the organisations needed to run a country. |
Treasury Chief Secretary Danny Alexander said: "The Scottish government is trying to leave the UK but it won't tell anyone how much the set-up surcharge is for an independent Scotland." | Treasury Chief Secretary Danny Alexander said: "The Scottish government is trying to leave the UK but it won't tell anyone how much the set-up surcharge is for an independent Scotland." |
Pensions and passports | Pensions and passports |
The Scottish government said it had never suggested that 180 public bodies would be needed. | The Scottish government said it had never suggested that 180 public bodies would be needed. |
Ministers also argued that start-up costs would be lower because they were planning to run a slimmed-down system. | Ministers also argued that start-up costs would be lower because they were planning to run a slimmed-down system. |
A spokesman for Scotland's Finance Secretary John Swinney said: "Scotland is one of the wealthiest countries in the world, more prosperous per head than the UK, France and Japan - but we need the powers of independence to ensure that wealth properly benefits everyone in our society. | A spokesman for Scotland's Finance Secretary John Swinney said: "Scotland is one of the wealthiest countries in the world, more prosperous per head than the UK, France and Japan - but we need the powers of independence to ensure that wealth properly benefits everyone in our society. |
"This is deeply flawed analysis, underlined by the ludicrous and palpably false claim that an independent Scotland would need 180 government departments - something we have never claimed. | "This is deeply flawed analysis, underlined by the ludicrous and palpably false claim that an independent Scotland would need 180 government departments - something we have never claimed. |
"Much of the infrastructure needed for an independent country already exists, and Scottish taxpayers already pay their fair share for all devolved and reserved services - while Scotland also stands to inherit a fair share of joint assets, valued at around $1.3 trillion." | "Much of the infrastructure needed for an independent country already exists, and Scottish taxpayers already pay their fair share for all devolved and reserved services - while Scotland also stands to inherit a fair share of joint assets, valued at around $1.3 trillion." |
If Scotland votes for independence, a number of current UK-wide bodies would need to be created in Scotland, including Scottish tax, pensions, passports, benefits, transport and regulatory bodies. | If Scotland votes for independence, a number of current UK-wide bodies would need to be created in Scotland, including Scottish tax, pensions, passports, benefits, transport and regulatory bodies. |