10th Sep 2014 10:53
LONDON (Alliance News) - Standard Life PLC Wednesday said it could transfer parts of its business out of Scotland, potentially including pensions, investments and other long-term savings held by customers, as a precautionary measure due to the uncertainty around Scotland's constitutional future.
The news comes as Prime Minister David Cameron and Labour leader Ed Miliband, together with Deputy Prime Minister Nick Clegg, traveled to Scotland to campaign for a 'No' vote amid signs that the 'Yes' vote was continuing to gain momentum.
In a statement, Standard Life Chief Executive David Nish said the precautionary measures include planning for new regulated companies in England to which Standard Life could transfer parts of its business if there was a need to do so.
The CEO said the potential transfer would ensure that transactions with customers outside of Scotland continue to be in sterling. The company also wants to ensure that customers outside of Scotland continue to be part of the UK tax regime and continue to be covered by existing consumer protection and regulatory arrangements, such as the Financial Services Compensation Scheme and the Financial Conduct Authority.
Nish also said Standard Life will continue to be listed on the London Stock Exchange and that there will be no change to the way in which share dividends are paid to shareholders.
"We will continue to serve our customers in Scotland and will consider what additional measures we may need to take on their behalf as a consequence of constitutional change once further clarity and certainty is received," Nish said in a statement.
"If the referendum result is supportive of Scotland remaining part of the UK, resulting in the devolution of further powers as seems likely, we will monitor any impact that this may have on our stakeholders and take whatever action we feel is required," he added.
Standard Life, which was founded in Edinburgh in 1825, has previously raised a number of concerns ahead of the referendum scheduled for Thursday September 18 under which Scottish people will vote on whether the country should be independent.
The company has flagged uncertainty over currency plans and the future of the monetary system, EU membership, financial services regulation, and the approach to individual taxation, especially around savings and pensions, as areas of particular concern.
Standard Life said it understands that it would be at least 18 months before Scotland could become a separate country from the UK in the case of a vote for independence.
Prime Minister Cameron warned the people of Scotland on Wednesday there would be "no second chances," eight days before they vote on whether to end more than 300 years of union with the rest of the UK.
Over the past weeks, opinion polls have shown a swing in support towards the pro-independence camp, with one at the weekend showing them in the lead with 51% for the first time. A poll of 990 people by TNS published Tuesday showed the two opposing campaigns tied on 41% among those who were certain to vote.
Standard Life shares were Wednesday quoted up 1.4% at 408.04 pence.
By Samuel Agini; [email protected]; @samuelagini
Copyright 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
SL..L