The FTSE 100 Index lifted after the Scottish referendum No vote ended a long run of uncertainty for the London market.

Traders welcomed the margin of victory for the No camp as the top flight index rose 18.6 points to 6837.9, driven by a rally for companies that are based in Scotland or have significant interests in the country.

Sterling rose as high as 1.65 against the US dollar in the early hours of the morning but slipped back from the two-week high, to 1.63, as the euphoria faded and traders mulled the prospect of higher interest rates in the United States. The pound was at 1.27 against the euro, easing back from a 24-month high it hit once it was clear the UK would not be broken up.

A vote for independence would have raised immediate questions over what currency Scotland would use and its position within the European Union.

But traders said much of the referendum result had already been priced into financial markets over recent sessions.

Royal Bank of Scotland was a strong riser in the top flight - up 8.8p to 366p - as a Yes vote meant it would no longer have to implement a plan to move south of the border.

It said: "That contingency plan is no longer required. Following the result it is business as usual for all our customers across the UK and RBS."

Other firms with Scottish connections also made gains. Lloyds Banking Group, which owns Bank of Scotland, lifted 0.95p to 76.8p, while Perth-based energy firm SSE rose 2p to 1523p and Babcock International, which has defence interests in Scotland, was up 26p to 1091p.

Johnnie Walker whisky maker Diageo, which is a major exporter for Scotland, called for the UK and Scottish governments to ensure the most favourable business environment possible for the industry. The company said: "The future for this sector will remain bright provided there is no further regulation or taxation on the industry." Diageo's shares lifted 7p to 1826p.

Away from the Scottish vote, pharmaceuticals giant GlaxoSmithKline was up 12.5p at 1449p, despite paying a £297 million fine after being found guilty of bribing doctors and hospitals to use its products in China.

But as the case has lasted more than a year traders had already priced in much of this bad news.

Edison Investment Research analyst Mick Cooper said: "Glaxo-SmithKline will hope that this will draw a line under events in China, but it will take time for its Chinese commercial operations to recover."

The biggest risers on the FTSE 100 were 3i Group up 12.7p at 398.9p, St James's Place up 21p at 721p, Royal Bank of Scotland up 8.8p at 366p and Babcock International up 26p at 1091p.

The biggest fallers on the FTSE 100 were Randgold Resources down 75p at 4355p, Rio Tinto down 50.5p at 3179p, Wolseley down 47p at 3315p and BHP Billiton down 23p at 1793.5p.