Alistair Darling: English unlikely to want currency union with independent Scotland The First Minister has faced increasing criticism over recent weeks over his claims that a "sterling zone" would be formed between Scotland and the remainder of the UK. He has argued it would be beneficial for both countries to reach a deal complete with a Scottish representative on the Bank of England's Monetary Policy Committee (MPC), which sets interest rates. But Mr Darling said that fears of a eurozone-style meltdown, whereby the economic woes of one country spread to another with the same currency, would prevent any agreement being reached. "There's something surreal about this: nobody is asking people in England, Wales and Northern Ireland what they think," the former Chancellor told a conference in Edinburgh. It's entirely conceivable they may think let's make it the Bank of England in fact as well as in name. Nearly all its capital comes from the UK Treasury - it is not a free-standing, freethinking organisation. Although the MPC sets interest rates without political interference, he said the rest of the Bank of England's functions are not independent and it has to ask the Chancellor "for everything." "So the idea that you can simply say we in Scotland want to change things, therefore you in England, Wales and Northern Ireland have to change things as well to fit in with us," the Edinburgh South West MP continued. Think of any English politician trying to sell that to his or her electorate: they will find that quite difficult. Mr Darling, who will launch the pro-UK independence referendum campaign, suggested a second vote on a currency union would have to be staged in the remainder of the UK. Mrs Curran tabled a series of parliamentary questions at the Commons asking George Osborne what discussions have been held between the Treasury, Scottish Executive and Bank of England about a separate Scotland's influence. In written answers just published, the Treasury confirmed none had taken place and there would be no Scottish representation on the MPC, meaning interest rates would be set with reference to the remainder of the UK only. "Scottish people do not want big decisions on their mortgages, jobs, homes and pensions cobbled together on a wing and a prayer, but these answers show the SNP is making it up as they go along," Mrs Curran said. They expect the Scottish people to accept proposals that are based on assertion and little else. Speaking on a visit to California, Mr Salmond announced an independent Scotland would cut corporation tax to 20 per cent. He has previously indicated this would be closer to the 12.5 per cent charged in the Republic of Ireland. We will gain more in investment and employment than we'd lose in tax receipts. We're much more sympathetic to business than Westminster," he said. But Gavin Brown, Scottish Tory finance spokesman, said the UK is already on course for a 20 per cent corporation tax rate. He added: "All this declaration provides is more evidence that the SNP is running out of ways to show the people of Scotland why independence would be a better alternative."