PM Meets Salmond For Independence Talks

The Prime Minister has said he will "fight with everything I have" to prevent Scottish independence but would consider devolving further powers.

Talks on the proposed independence referendum are currently underway between David Cameron and Scotland's first minister in Edinburgh.

It is their first meeting since the Prime Minister stepped up his opposition to a UK break-up at the beginning of the year.

First Minister Alex Salmond was due to greet Mr Cameron outside St Andrew's House but the Prime Minister had to use a different entrance as an anti-cuts demonstration was being held outside.

Before the meeting, the Prime Minister argued while both Scotland and England could govern themselves, they work better together. 

"The fight is now under way for something really precious: the future of our United Kingdom," he said in a speech.

"I am 100% clear that I will fight with everything I have to keep our United Kingdom together.

"To me, this is not some issue of policy or strategy or calculation - it matters head, heart and soul. Our shared home is under threat and everyone who cares about it needs to speak out.

"Of course, there are arguments that can be made about the volatility of dependence on oil, or the problems of debt and a big banking system. But that's not the point.

"The best case for the United Kingdom is entirely positive. We are better off together. Why? Well, first of all, let's be practical. Inside the United Kingdom, Scotland - just as much as England, Wales and Northern Ireland - is stronger, safer, richer and fairer."

He praised the country's rich history and heritage but added: "Proud as that past and present are, I am convinced that for both Scotland, and the United Kingdom, our best days lie ahead of us."

Mr Cameron confirmed he would be willing to look at "improving" the devolution deal if voters reject full independence.

"Yes, that does mean considering what further powers could be devolved," he added.

The Prime Minister began his visit with a tour of the Quaker Oats factory in Cupar, Fife, as the company announced new jobs.

Mr Cameron described himself as a "patriot for the whole United Kingdom".

He added: "I'm proud to be English but also proud to be British and I think many people in the UK absolutely feel that you can have all of these identities together, and that is the strength of the UK."

The SNP said it expected substantive talks between First Minister Mr Salmond and Mr Cameron on progress towards an independence referendum.

Downing Street distanced itself from weekend reports that Mr Cameron would simply be making a "courtesy call" to the first minister and has confirmed that independence will be on the agenda.

The UK coalition Government has appointed Scottish Secretary Michael Moore as its lead negotiator in talks between Holyrood and Westminster .

He met Mr Salmond on Monday, but the SNP-controlled Scottish Government has insisted that it wants to deal directly with the Prime Minister on the issue.

Speaking prior to the meeting, Mr Salmond told Sky News the days when "London said jump and Scotland jumped" were long gone.

"We're quite capable of running a debate in Scotland, a positive debate about the future of this country - the biggest decision we've made in 300 years - and we can run that in an effective way and with a timescale that suits Scotland," he said.

There are three key areas of disagreement on how to proceed with the referendum - the timing, who can vote and the number of questions.

The SNP plans to hold it in the autumn of 2014 and wants 16 and 17 year-olds to have a vote. It has also left the door open to a second question on so-called "Devo-Max" - devolution with greater powers.

The UK Government wants it held as early as possible, with a minimum voting age of 18 and to have one question only - independence, yes or no.

On the eve of his meeting with Mr Cameron, Mr Salmond said in a speech in London that an energy economy would create multi-billion pound wealth in an independent Scotland.

He told an audience at the London School of Economics: "Under independence, we would make the best use of our unparalleled energy resources.

"We have 25% of Europe's tidal power potential, 25% of its offshore wind potential and 10% of its wave power potential - not bad for a nation with less than 1% of Europe's population."