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Tunnock's biscuits chief's independence comments deliver blow to biggest fan

The manufacturer of Alex Salmond's favourite biscuit has warned uncertainty caused by the independence referendum will damage Scottish business.

PA-10506357_alex_salmond_biscuit

Sweet tooth — Alex Salmond on a visit to another Scottish producer, Borders Biscuits, last year.

The explosive intervention by Boyd Tunnock, managing director of Tunnock's, comes amid fierce debate over the impact of the constitutional chaos swamping the country.

The First Minister has declared his intention to hold the referendum in autumn 2014, despite the UK Government insisting the vote would be illegal. But Mr Tunnock, whose company make the iconic teacakes and caramel logs, said the referendum should be held sooner to avoid damaging the economy.

''It goes without saying that uncertainty about a country's constitution and its currency is bound to affect business confidence,'' he said. ''Scotland and Scottish business needs certainty and clarity.

"We need the independence referendum to be held as soon as is reasonable so that investors know where they stand. The rest of the UK is a vital market for us and I would prefer to grow my business, confident about Scotland's place in the UK.''

The comments will be seen as a particular blow to Mr Salmond because he has toured the factory in the past and once famously declared the firm's Caramel Wafer his favourite biscuit.

Scottish Conservative leader Ruth Davidson welcomed Mr Tunnock's remarks and repeated calls for a quick referendum.

''Alex Salmond can no longer run away from the reality that his continual refusal to bring forward his referendum vote is harming business in Scotland,'' she said. ''The fate of Scotland's future is about more than one man's ego and if the First Minister truly cares about giving the Scottish people their democratic say then he should just get on with his vote on separation.''

But a spokesman for Mr Salmond said Mr Tunnock's comments had been ''overtaken by events''.

''We will keep our promise with the people, and hold the referendum in autumn 2014,'' he said. ''The director general of the Institute of Directors, Simon Walker, said he is 'relaxed' about the possibility of Scotland becoming independent, and the executive director of the IoD in Scotland, David Watt, has said he doesn't think a referendum in 2014 makes any difference for business.

''The reality is that business at home and abroad are voting with their feet with full confidence in Scotland's future by making huge investments here. An independent Scotland will retain sterling, as at present, with any decision to join the euro only taken when the circumstances were right and subject to a referendum of the Scottish people.''

Aberdeenshire ice-cream tycoon Maitland Mackie also warned about the effects of uncertainty over the referendum.

''It's high time to get the damn thing out of the way,'' he said.

Downing Street has previously claimed major firms are considering putting off investment or taking their money elsewhere because of the looming referendum.

Business lobby group CBI Scotland and finance firm Citigroup have also warned of implications of the planned referendum.

But the claim is robustly denied by the Scottish Government, who point to a list of firms that have invested in Scotland in recent months, including Amazon in Dunfermline and Michelin in Dundee.

Tunnock's, which makes caramel wafers, teacakes and snowballs, was established in Uddingston, Lanarkshire, in 1890.

The family-run firm started life as a small bakery but has expanded to a business producing more than nine million biscuits a week and had a turnover of £38 million last year.

Mr Tunnock is the grandson of company founder Thomas Tunnock, who paid £80 for the shop.

Photo by Andrew Milligan/PA Archive

Click for more on these topics:

People: Thomas Tunnock, David Watt, Alex Salmond, Simon Walker, Ruth Davidson, Maitland Mackie | Organisations: Citigroup, Institute of Directors, CBI Scotland, Tunnock's | Concepts: Independence, Business, Referendum, Uncertainty

 
Comments
Comment bubble[ 19 ]

01.11pm - 12.01.2012  George Barr - Dundee, Scotland    Report This

LOL. Boyd Tunnock is a Scottish Tory party donor and sympathiser. Which is about all that needs to be said !


01.14pm - 12.01.2012  ianmc - Arbroath, Scotland    Report This

This is mischief making. Companies will not lose access to markets in the rest of the UK as soon as an Independent Scotland is declared. No more than they lost sales when the UK did not join the Euro, just as Norway is still able to flood the market with cheap Salmon despite not being in Europe.


01.45pm - 12.01.2012  Bill Connor - tayport, Scotland    Report This

so a unionist comes out and agrees with what unionists say regardless of the evidence...surprise surprise.. Mr tunnock has said in an interview that he thinks Scotland needs to be part of Gt Britain so his comments are par for the course.


04.05pm - 12.01.2012  Derek - Dundee, Scotland    Report This

The same kind of stuff was said by companies (and even one university) back in Canada when Quebec was going to hold a referendum (the referendum failed). Some companies threatened to pull out of the province and one university president said he'd have the building dismantled brick-by-brick & moved.


04.57pm - 12.01.2012  Cory Douglas Campbell - Maryfield, Scotland    Report This

@Derek, most companies that operated in Quebec DID move away to Toronto but not because of the 80s independance referendum, it was because in the 60s & 70s,the PQ Nats changed so many laws that made stupid demands on companies. Those nats burnt their own gold goose but other Nats learned the lesson


05.23pm - 12.01.2012  Hill of Maule - Dundee, Scotland    Report This

Aye, you can dream all you like, but Independence is a "nice thought" and a "wee dream" but it wont be a reality in our lifetime, Scots people are far too canny to let that happen, Salmond hopes the extra time will convince but in his heart of hearts he knows its nothing but folly.


06.15pm - 12.01.2012  John Jones - Dundee, Scotland    Report This

With no existing EU rule and no precedent for such a secession, no-one knows on what precise terms an independent Scotland might take its place inside the EU. And if Scotland also has to join the Eurozone as part of that deal, our businesses will sure want to know this well in advance.


09.35pm - 12.01.2012  Hazelkaye - GLasgow, UK    Report This

"Taking the biscuit" in every sense of the (parliamentary) term!


10.41pm - 12.01.2012  Rab - Dundee, Scotland UK    Report This

Scotland needs it's business community to come forward and make these points.


12.27am - 13.01.2012  Jonnie Armstrong - Glasgow, Scotland, UK    Report This

You may not like what he says but he has the right to his opinion and as a businessman and employer he certainly has a right to represent his views on this question from a business perspective - we shouldn't be blind to this - its valid and if ind'pend' is what you want such q's need to be faced


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