LONDON, March 6 Aggreko, the world's
biggest temporary power provider, said on Thursday that Scottish
independence would mean it would have to split its UK business
in half, leading to significant costs in administration and tax.
The company, which has its headquarters in Glasgow, joins a
number of firms like part-nationalised Royal Bank of Scotland
and Edinburgh-based insurer Standard Life, in
warning of the risks of secession.
"Following independence, our UK business operations would
have to be split into two separate trading entities," it said in
its full year results statement.
At an operational level, this would mean significant
additional administration costs and complexity in its UK
operations as well as having to contend with different
approaches to taxes and regulation.
Aggreko, whose equipment powers major events and covers
electricity shortfalls, said the UK accounted for less than 10
percent of its revenues.
"At the very least, we will face some years of uncertainty
and hiatus. We will, of course, find ways to manage around this
challenge if it arises," it added.
The group also said it would face two major macro-economic
challenges if Scotland leaves the UK.
"The first is currency, where it seems that the two options
for an independent Scotland are either a currency union with the
rest of the UK, or a separate Scottish currency. Neither of
these options are without risk for our business," it said.
"There is (also) a risk that an independent Scotland might
not be able to continue in membership of the EU, and that could
impact the terms under which we export equipment around the