Scotland’s Financial Services Sector…
Scotland plays a leading role in the EU’s financial services sector and is the second largest financial hub in the UK outside of London.
The financial services sector in Scotland is over 300 years old and houses one of Europe’s leading financial centres. It also has the prestige of being one of the leading centres for pensions, investment, banking, professional services as well as asset servicing.Scottish Financial Enterprise
Historically Scotland has always been a World leader in the field of financial services, and it is worth spending a few minutes to recap on Scotland’s legacy and some of the outstanding contributions it has made to this prosperous global industry.
1694 – Scottish Merchant William Paterson founded the Bank of England.
1695 – Scotland started to issue its own Banknotes.
In Scotland there are three banks that are permitted to issue banknotes – The Royal Bank of Scotland, Bank of Scotland and the Clydesdale Bank.
1748 – Scottish clergymen, Wallace and Webster, invented Life Insurance with the foundation of the Scottish Ministers Widows Fund.
Scotland’s insurance sector dates back to the early 1700’s and was brought about primarily because of the increase in international trade, which saw many Scottish import and export companies requiring marine insurance.
1854 – The Institute of Chartered Accountants of Scotland (ICAS) was created, making Scotland the home to the oldest professional accounting body in the world.
1875 – the Chartered Institute of Bankers in Scotland was founded as a professional and educational body, making it the world’s oldest professional body for practising bankers.
The 1870’s saw the rise of the Investment Trust as a vehicle for world-wide collective investment, this was pioneered by Scotsman Robert Fleming with the primary investors being the owners of Dundee based Jute Industry.
With so much history, it is hardly surprising that Scotland is now recognised as an innovative global leader in the field of financial services.
72% of the research that Scotland’s universities undertakes in economics and econometric’s was found to be “World leading and Internationally Excellent“
Scotland’s Financial Services industry (directly and indirectly) employs around 200,000 people, it generates over £8 billion for the Scottish economy, which equates to approximately 8% of Scotland’s onshore economic activity. It accounts for nearly 25% of all UK employment in life assurance, and well over 12% of all banking employment. It manages over £800 billion of funds and according to the Bank of England’s Governor Mark Carney, it has a net worth of over a Trillion pounds.
Yes, Scotland’s Financial Services Sector really is worth over ONE TRILLION POUNDS Sterling!
In a meeting of the UK Treasury select committee Bank of England Governor, Mark Carney stated that Scotland’s financial sector was worth North of a Trillion Pounds Sterling…
Scotland’s Growing Financial Technology Services
There are now over 80 financial technology (fintech) firms in Scotland. The growth has been driven by a mixture of new start-ups, existing fintech businesses moving to Scotland and other Scottish technology companies expanding into the financial services market.
FinTech Scotland was launched at the beginning of 2018 to promote the growth of the financial technology sector in Scotland. FinTech Scotland has come together with the financial industry, universities, as well as the public sector, to ensure that Scotland establishes itself as a major player within the global fintech market.
Why is all this success so bad for Scottish Independence?
Given the success of Scotland’s Financial Services sector and its net worth to the UK’s economy as a whole, it becomes blatantly obvious why Westminster is so reluctant to allow Scottish independence. After all, the loss of over £800 billion would make quite a hole in the balance sheets of any countries financial statistics, and let’s not forget about the value of the Scottish Financial Services sectors assets, which as previously stated currently stands at well over a trillion pounds sterling…