The Royal Bank of Scotland confirmed Thursday that it would move its headquarters from Edinburgh, Scotland, to London in the case of a Yes vote on Scottish independence.
“As part of such contingency planning, RBS believes that it would be necessary to re-domicile the Bank’s holding company and its primary rated operating entity (The Royal Bank of Scotland plc) to England,” the bank said in a statement. “In the event of a ‘Yes’ vote, the decision to re-domicile should have no impact on everyday banking services used by our customers throughout the British Isles,” it added.
The vote is set for next Thursday, Sept. 18.
The announcement follows an essay by George Soros published Wednesday which said: “This is the worst possible time for Britain to consider leaving the EU — or for Scotland to break with Britain.”
Soros’ argument is centered on the necessity for the Eurozone to stay together. He wrote that policy differences between both Scotland the U.K. and the U.K. and the Eurozone can be mediated.
Analysts at Deutsche Bank have also said that if Scotland broke from the U.K., it would fall into a deep recession.
Earlier on Wednesday, the British pound was rallying after the lastest poll from Survation showed that No votes on independence were leading Yes votes by a 53-47 margin.
Over the weekend, a vote in favour of Scottish independence seemed like a real possibility, but reality might be setting in as we move closer to the vote.
RBS has been based in Scotland since 1727. The bank said it “intends to retain a significant level of its operations and employment in Scotland to support its customers there and the activities of the whole Bank.”