Scottish independence gets boost from Hong Kong's money markets

In a week that has seen Britain discuss the very future of the pound sterling and the possible break-up of the United Kingdom, Hong Kong's money changers have provided an unwitting boost to the Scottish independence movement by offering a separate - and more favourable - rate for Scottish pound notes.

Last week, British Chancellor of the Exchequer George Osborne warned that an independent Scotland would have to give up control over key elements of its economy if it wanted to continue using the pound. Osborne said a "Yes" vote in next year's referendum would leave Scotland with three options - unilaterally keeping the pound, creating a Scottish currency or joining the euro.

But the Scottish nationalists got an unlikely boost when currency exchange company Mega Foreign Exchange listed the Scottish pound in its exchange rates, valuing it higher than the English pound. Yesterday it was offering HK$11.50 for a Scottish pound but HK$11.30 for an English one.

The company has three outlets locally - two in Causeway Bay and one in Tsim Sha Tsui. A spokesman for the company confirmed they offered a separate rate for the Scottish pound and would continue to.

"It's legal tender," he said. "We have had transactions in the past, but … it's actually only been once in a blue moon, but we will continue to provide the service. The rate is based on whatever the English pound is at that time."

The Sheraton Hotel at Nathan Road, Tsim Sha Tsui, also has an exchange rate for the Scottish pound, the same as it offers for the English pound. However, five Western Union money exchange outlets the Sunday Morning Post visited in Wan Chai and Causeway Bay would not accept a Scottish £20 note for Hong Kong dollars.