Scotland prepares for historic independence vote

Scots head to the polls on Thursday for an independence referendum that could end its three centuries old union with England and create Europe's newest country since the collapse of Yugoslavia.

The election is like no other that Scotland has ever seen and has stirred fevered debate, as well as concern on the financial markets about how to separate two deeply intertwined economies.

The possibility of a "Yes" victory was dismissed as pie in the sky just a few weeks ago but is now being seriously entertained as the polls have narrowed and the two camps appear almost equal.

"Should Scotland be an independent country?" is the single question on the ballot papers to be marked with an "X" for "Yes" or "No" in polling stations, which will open at 0600 GMT and close at 2100 GMT on Thursday.

From the Shetland Islands in the north to Edinburgh and Glasgow in the south, from the Highlands in the west to the oil hub of Aberdeen in the east, results from 32 local authorities will emerge during the night.

Turnout is expected to be a record high and the official result will be announced in Edinburgh on Friday morning.

"This is a time of change," Margaret David, a 62-year-old pro-independence campaigner, told AFP in the capital Edinburgh.

"Before nobody listened to the people -- now they feel they can make a difference and be listened to for once."

But in Aberdeen, pro-union campaigner Willy Primrose said he was "concerned" about the prospect of a "Yes" victory.

"I feel very Scottish but I want to be Scottish in the context of a federal UK, not a small nation," he said.

British Prime Minister David Cameron, whose own job will likely be on the line if Scotland becomes independent, has pleaded with Scots to vote "No", saying he would be "heartbroken" if they chose to leave.

The pro-independence head of Scotland's regional government Alex Salmond has said his nation "is on the cusp of making history".

The campaign has been boisterous and brought up differences of opinion even within families and between lifelong friends, but it has remained peaceful -- a rare example for separatist movements around the world.

Nearly 4.3 million people have registered -- 97 percent of the electorate -- indicating the level of interest in a vote which will include 16 and 17-year-olds for the first time.

Whatever the result, the referendum will have far-reaching implications for the United Kingdom and beyond.

Britain's main parties have promised to give Scotland's regional government sweeping new powers to levy taxes and allocate spending in the event of a "No" vote and have said draft laws will be drawn up by January 2015.

This drive has in turn triggered similar calls for more local powers in other parts of the country, including Northern Ireland and Wales, but also regions within England like Cornwall and Yorkshire.

The campaign has also stoked separatist sentiment outside Britain, in places like Catalonia where hundreds of thousands massed in Barcelona last week, forming a giant "V" to demand a vote on breaking away from Spain.

A "Yes" vote in Scotland would sound the starting gun on months of complex talks leading up to full independence, which Salmond's Scottish National Party(SNP) wants to take place on March 24, 2016 -- the 309th anniversary of the Acts of Union between England and Scotland.

A lot of the campaign has been about opposition to a Conservative-led government in London that few Scots voted for, and about Scottish identity, although notions of the wild-haired freedom fighters from the blockbuster "Braveheart" would be off the mark.

Much of the debate has also revolved around complex economic issues.

The "No" camp has accused Salmond of exaggerating expected revenues from oil and gas reserves in Scottish waters of the North Sea, which the pro-independence firebrand says will make Scotland one of the world's wealthiest small countries.

The big unanswered question is also what currency Scotland would use, since the Bank of England has ruled out sharing the pound.

One possibility would be for Scotland to use the pound without a formal currency union, as Panama does with the US dollar.

Many of Scotland's big businesses, including the thriving whisky industry, have come out against independence and their shares have been hit hard on the stock market as the polls have narrowed.

But a lot of smaller companies say they want decision-making that is closer to home and have rallied behind the "Yes" campaign.

Sports stars and celebrities are also split, with bestselling author J.K.

Rowling and music legend Paul McCartney opposed, while Bahamas-based James Bond actor Sean Connery is in favour of independence.

Whatever the result, the Church of Scotland has said there will be a need for national reconciliation.

The Church's leader John Chalmers has warned Scotland "may be in danger of becoming a divided country" and will hold a service the Sunday after the vote to bring together opposing sides. (AFP)