The Scottish Government was warned about the potential for “significant” costs of an independent Scotland’s EU membership through renegotiated signing up terms, a leaked paper has revealed.
Before the referendum, External Affairs Secretary Fiona Hyslop drafted a paper for Alex Salmond’s cabinet in which she said there were major financial considerations to be taken into account.
The report reveals she was aware there was an issue about the terms of membership and agreement would have to be sought about whether the UK’s existing conditions, such as the budget rebate, could be kept.
At the same time former First Minister Mr Salmond was publicly insisting Scotland would inherit all the perks.
The paper was written before the Scottish Government’s white paper on independence and was tabled for discussion at a cabinet meeting on May 1 2012.
She wrote: “For Scotland to continue as a member of the EU, investigations so far indicate . . . the key issues about the terms on which Scotland’s European Union membership would continue and whether an independent Scotland would keep existing United Kingdom terms and conditions will need to be agreed.”
Ms Hyslop added: “I am of the view that there will be significant financial considerations.”
A spokeswoman for Ms Hyslop said the paper was an early draft more than two years before the referendum.
The Government’s detailed approach was set out in a white paper and other documents in 2013.