THE boss of Clydesdale Bank owner Virgin Money has declared that it is “too early to tell” whether a further referendum on Scottish independence would affect business investment and the economic recovery from coronavirus.

Speaking on the eve of the Scottish election, David Duffy said the prospect of a further referendum is “a great imponderable” at this stage. First Minister Nicola Sturgeon has stated that the SNP would push for a referendum by the end of 2023 if her party wins a majority in tomorrow’s election.

Asked if a referendum would affect business investment and the economic recovery from Covid in Scotland, Mr Duffy said: “I think it is a great imponderable. From our perspective, it is impossible to tell. There are so many variables – currencies, timing – that it is impossible to tell.

“Our view on the economy right now, including Scotland, is that consumers are beginning to spend again. We are seeing credit cards showing people moving up to the month of April up to 94 per cent of pre-pandemic levels. I think the recovery is under way and I am optimistic about medium-term growth, and I think the timing of a referendum, and the structure of any referendum [are] too hard to interpret at this time.”

READ MORE: Natwest Group boss: We would move HQ to London in event of Scottish independence

Alison Rose, chief executive of Royal Bank of Scotland owner NatWest Group, entered the debate over the constitution last week when she underlined that the institution would move its headquarters to London from Edinburgh in the event of Scottish independence.

Mr Duffy’s comments came as Virgin Money reported a more than doubling of underlying profits before tax to £245 million for the six months ended March 31, boosted by lower impairment charges. He said the bank was “cautiously optimistic” about the outlook as the “impact arising from the vaccination programme in the UK delivers positive revisions to economic expectations.”

Shares in Virgin Money were down nearly six per cent in early trading.