[Re: Has the Treasury hurt the Union by backing UK debt until Scotland’s vote? Yesterday]
When sovereign countries split, it can create complicated legal and financial problems in allocating liabilities, and the uncertainty over this allocation increases risks in financial markets. Given the obvious importance of the financial sector to the UK, it is in the broad interest of the government to clarify the situation over UK debt. The need to stabilise market expectations outweighs the political leverage the government could have obtained by letting the uncertainty weigh against a Scottish secession vote.
Thomas Laryea, partner, Dentons
[Re: Britain’s public sector needs to become more like Switzerland’s, yesterday]
Due to the long-term increase in UK life expectancy, the state pension age should be far higher than it is today. Successive governments have failed to adequately increase the age, meaning we now have to play catch-up. The changes proposed by George Osborne do not even keep pace with the increased life expectancy that will have occurred by the time they are implemented. They cannot be said to represent a sensible balancing of state pension funding.
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