Scottish legal figures foresee opportunity in sole access to the single market

Scottish legal figures have given their thoughts on the possibility and implications of Scotland retaining access to the single market.

Kenneth Shand, CEO of Maclay Murray & Spens LLP (MMS) said there could be “significant inflows” for various sectors if Scotland retains access or regains it in the future.

He told Scottish Legal News: “Scotland remaining within the EU, however that might come about, would provide a new economic rationale for Scottish independence and could very well result in significant inflows of investment and jobs in all sectors, especially financial services. The extent to which the rest of the UK was denied access to the single market would obviously have an impact.

“Should the Brexit dream of becoming a world powerhouse free of so-called EU regulation come to pass it would be no bad thing to be adjacent to that economy. Either way it has the potential to be a win-win situation, one would have thought.

“The legal sector in Scotland would have to step up to the challenges and opportunities, particularly of an international nature, that this would present. Scotland would also attract London firms seeking to retain business in the single market and retain legal privilege in the kind of proceedings which our firm has been involved in initiated by the European Commission.”

Philip Rodney, chairman of Burness Paull, said that if Scotland retains access to the single market it could usher in a renaissance for Glasgow and Edinburgh as European financial centres, adding that he has reconsidered his opposition to Scottish independence.

Writing in The Herald, Mr Rodney said: “I voted No in the IndyRef and voted Remain in the EU referendum. Nationalism as a political force has seemed at odds with my perspective as a committed European and internationalist.

“While I would still find it hard to bring myself to vote to break up the United Kingdom, I would not find it difficult to support moves by Scotland to remain in the EU even if other parts of the UK chose to do something else.”

He added: “Ironically, after years of gradual leakage of financial services activity from Scotland to the City, Edinburgh and Glasgow could see a renaissance as centres of the financial services sector.”

Bill Drummond, managing partner of Brodies, told SLN the attempts to preserve Scotland’s ties with the EU came as “no surprise”.

He said: “Given the very clear voting pattern across Scotland and what seems to be cross-party political alignment, it is no surprise that the Scottish government is seeking to maintain the country’s ability to trade and employ EU citizens freely and have free movement of Scots throughout the EU. The role of law firms is to stand ready to support their clients through the challenges ahead.”

Glen Gilson, managing partner of Gilson Gray LLP, sounded a note of caution.

He told SLN: “Retaining access to the single market may not be possible, however any other agreements and initiatives that support commercial stability, must now be the priority. It is simply too early to predict the real effect of the current structural and political upheaval, but promoting a positive outlook and minimising further uncertainty is key.

“Scottish business needs to build on the recovery of recent years, not suffer the distraction of further divisive politics. We are already seeing transactional Scotland affected by the Referendum result and our political leaders must now pull together to help consolidate and stabilise the commercial landscape and avoid the temptation to capitalise on current divisions.”