THE Scottish independence campaign will see a spending free-for-all over the next two years, MPs heard yesterday.

The Electoral Commission told the House of Commons Scottish Affairs Committee the Yes and No campaigns will be able to accept foreign donations to promote their cause

It said unregulated spending on the campaign in the run up to the poll in autumn 2014 could effectively be used to promote party interests in that summer's European elections.

It says it will happen because the regulated period when restrictions on donations and spending are imposed is not expected to happen until 16 weeks before the referendum date, the specifics of which are still not known.

John McCormick, the Electoral Commissioner with responsibility for Scotland, described the Scottish independence referendum as "unique".

He said: "A number of political parties will become associated with umbrella campaigns right from the outset, although it would seem there's at least two years before the referendum might take place.."

It is thought that the SNP-led Yes Scotland campaign – which has called for a ban on all donations from outside Scotland – has at least £2 million.

The Labour-led Better Together campaign – which will take cash from people across the UK – has suggested it would match it.