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CHANCELLOR George Osborne’s speech on the sterling currency union is more about street-fighting than statesmanship.

His intervention continues the relentless negativity of the No campaign and runs the risk of pushing more Scots into voting Yes.

Sadly his position of saying no to the currency union is shared by the other unionist parties.

They may come to regret this political miscalculation when Scots get fed-up with heavy-handed tactics.

We have to separate facts and fiction.

It is absolutely clear that a sterling currency union is workable and achievable.

The eurozone is the most obvious example. Eighteen countries out of 28 in the EU have opted to join the euro.

Countries have shared or pooled their national sovereignty, have a central bank and co-ordinate debt, deficits and public expenditure to pursue wider objectives.

Despite difficulties in the eurozone caused by recession and the banking crisis, nearly 330million people use the euro. It works.

And do we think Germany is a lesser country because it has a shared currency?

Germany is a giant in Europe. The UK isn’t.

So why wouldn’t a sterling currency work between two countries, if Scotland voted to be independent?

It would provide security, stability and continuity at a time of economic fragility.

It would help business, people, investors and trade if common sense was pursued instead of political posturing.

Osborne’s comments are not about these practicalities – they are about hard politics.

He is basically saying vote yes and we won’t allow you to join a currency union. We will withdraw any goodwill and sacrifice the best interests of Scotland, England, Northern Ireland and Wales.

Do we really believe that would be the response if Scotland voted to exit the Union? I don’t think so. Wisdom and sanity would return.

It would help if the Union would spell out their vision, provide an alternative to independence and offer a bit more carrot and less stick to Scots voters.

Let’s remember that Osborne’s party want to take us out of the EU. It is the Union that is on trial, not Scotland.

Creating a currency union is first and foremost a political decision, not a financial or technical one.

The UK and Scotland would have to settle the politics of this in their respective parliaments or at the polls, so the people of England, Wales and Northern Ireland could have a say in this significant decision.