Scottish independence Salmond 'would reverse Royal Mail sale

[fishtank]

http://www.bbc.co.uk/news/uk-scotland-s ... s-24162324" onclick="window.open(this.href);return false;


The privatisation of Royal Mail would be reversed in an independent Scotland, First Minister Alex Salmond has said.

The UK government wants to float the service on the London Stock Exchange to allow it to stay competitive.

But Mr Salmond said, in the event of a "Yes" vote in 2014, a post-independence government led by him would bring it back into public ownership.

The SNP government has, until now, declined to specifically state what it would do if the sale went ahead.

The first minister's confirmation came after sustained questioning from MSPs at the Scottish Parliament, sparking opposition accusations that he was making up "off-the-cuff", uncosted policy.

Responding to Tory MSP Gavin Brown during first minister's questions, Mr Salmond said: "An independent Scottish government that I lead - because it will be the decision of the Scottish people - will bring the Royal Mail, our postal service, back into public ownership."

There is no doubt this is a new commitment from the first minister.

Just how new is less clear.

Finance Secretary, John Swinney, when asked if he would re-nationalise Royal Mail in the event of independence in a TV debate on Wednesday, said it was "impossible to give a definitive answer" because he didn't know what state the service would be in after privatisation.

But at Holyrood question time - 18 hours after those remarks were recorded - Alex Salmond overcame the impossible.

He was cautious at first, promising an SNP backbencher he'd make "every possible endeavour" to keep Royal Mail in public hands.

Then he was bolder. In answer to a Labour MSP, his commitment was to "seek to bring the Royal Mail back into public hands".

But the definitive answer came when he was pressed by Conservative Gavin Brown.

Mr Salmond said an independent Scottish government led by him "will bring the Royal Mail...back into public ownership".

Afterwards the first minister's advisers denied that he had made policy on the hoof.

They insisted the government had been "building up to an announcement".

They were unable to say when the decision was taken and what the cost implications might be.

His comments came the day after Scottish Finance Secretary John Swinney gave a less definitive answer to the question of whether the service would be re-nationalised under independence.

Mr Swinney told a BBC Scotland TV debate programme on Wednesday night: "What I don't know at this stage, which is why it's impossible to give a definitive answer about what condition the service would be in is exactly what shape it would be in as a consequence of privatisation - but my clear instinct is to retain postal services within the public sector."

Mr Salmond has already asked UK ministers to hold off on privatising the Royal Mail until after the Scottish referendum, on 18 September 2014.

Mr Brown, who called on the Scottish government to publish the costings of its policy, said: "I am not sure who was more astonished by the first minister's answer today - me or members of the Scottish Cabinet.

"Considering the answers given on air last night by his finance secretary, it would be interesting to know when the Scottish government settled on their current policy of re-nationalisation of Royal Mail."

Shadow business secretary Chuka Umunna has said Labour would not pledge to renationalise the Royal Mail, arguing that such move would be "completely irresponsible" and "like writing a blank cheque".

Scottish Labour MP Ian Murray, who speaks on postal affairs, said: "This is yet another off the cuff, uncosted promise by Alex Salmond.

"His finance minister, on TV just 16 hours before, said he could not commit to renationalisation as he would not know the shape or format of the Royal Mail post privatisation and how much it would cost."

The Westminster government said the sale was necessary to give Royal Mail the access to private capital it needed to grow.

But Scottish ministers said the move could have a serious impact on the Scottish economy and rural communities.

Employees at the postal service are being balloted for strike action by the Communication Workers Union.

[speckledtangerine]

British gas went for nine billion in 1986. We're going for 3 billion in 2013, which is too cheap. The investors will make a mint in dividends year one as a result. They'll be after more.

say an independent scotland pays 300 million for the network after independence, the shareholders get a tasty bung as well as losing a slightly populated, largely rural non profitable side of the business. Everyone's happy.

[peedofpostie]

would nt trust any them another publicity stunt just like when murray won wimbledon

[Godric]

would nt trust any them another publicity stunt just like when murray won wimbledon

check the date on this link Tuesday the 17th of September .... the decision was not made on the cuff

http://www.heraldscotland.com/politics/ ... e.22170312" onclick="window.open(this.href);return false;

[bigcol]

would nt trust any them another publicity stunt just like when murray won wimbledon

check the date on this link Tuesday the 17th of September .... the decision was not made on the cuff

http://www.heraldscotland.com/politics/ ... e.22170312" onclick="window.open(this.href);return false;

That's got nothing to do with it.

[Godric]

would nt trust any them another publicity stunt just like when murray won wimbledon

check the date on this link Tuesday the 17th of September .... the decision was not made on the cuff

http://www.heraldscotland.com/politics/ ... e.22170312" onclick="window.open(this.href);return false;

That's got nothing to do with it.

and how do you work that one out ??

[Darren Bent]

If Royal Mail agree to do this then the profit and dividends will be bigger for Rest of UK due to less rural runs and running cost for the investors.

[bigcol]

and how do you work that one out ??

Salmond is promising to nationalise, the guy in your link thinks it might be nice to.

[fishtank]

would nt trust any them another publicity stunt just like when murray won wimbledon

Don't care.
It's nothing to do with whether we believe him,It's whether potential city investors believe him enough to have another think.
It's a long shot but it's a freebie so it's welcome.

[Godric]

and how do you work that one out ??

Salmond is promising to nationalise, the guy in your link thinks it might be nice to.

nah he says it should be re nationalised in a independent Scotland .... what he is alluding to is that the Snp might not be the first government in power post referendum if a YES vote is the winner and he is trying to put pressure on a possible Snp government to renationalise

[cloherty1976]

They will be spending like the Labour Party has in the past. Look we're that left us.

[fishtank]

They will be spending like the Labour Party has in the past. Look we're that left us.

There is no logical reason why re-nationalising Royal Mail Scotland or indeed Royal Mail should have any detrimental net effect on the country's finances.
If you sell it,you can buy it back and assuming the price hasn't increased in the meantime it won't "cost" you anything.

[cloherty1976]

There is no logical reason why re-nationalising Royal Mail Scotland or indeed Royal Mail should have any detrimental net effect on the country's finances.
If you sell it,you can buy it back and assuming the price hasn't increased in the meantime it won't "cost" you anything.this is true but that is if the price stays low but I expect the price to go up and you can't just buy it back as they will have to make an offer that is acceptable to shareholders. When you add the legal fees and banks charging this will be another waste of public funds.

[TrueBlueTerrier]

They will be spending like the Labour Party has in the past. Look we're that left us.

With the Cons = borrowing more

Torygraph http://www.telegraph.co.uk/finance/econ ... owing.html" onclick="window.open(this.href);return false;

The Treasury had been expected to pay off £2.2bn of the national debt last month, which is traditionally good for corporation and self-assessment tax receipts. Instead, the Office for National Statistics (ONS) revealed that the Government borrowed £600m more.

The surprise rise meant the Government has borrowed £11.6bn more in the first four months of the year than in 2011, excluding one-off items such as the £28bn Royal Mail pension transfer and the Special Liquidity Scheme for Britain’s banks.

Alan Clarke, UK economist at Scotiabank, said: “If the pace of deterioration continues, then we are on track to miss the government’s borrowing estimate by £30bn. Even if the deterioration halts, then full year borrowing will be around £13bn higher than forecast. This has been second worst four month start to a fiscal year since the crisis began.”

The extra borrowing, which pushed the national debt up to £1.03 trillion, was largely a result of a collapse in corporation tax revenues

[cloherty1976]

Yes I agree with your figures tbt so do you think they should cut more.