Mr Tony Blair's government struck a decidedly unionist note yesterday when it announced that the new Scottish Parliament - Scotland's first in almost 300 years - will be housed next to Queen Elizabeth's official residence in the Holyrood area of Edinburgh.
Announcing the selection of the four-acre site adjacent to the Palace of Holyrood House, the Scottish Secretary, Mr Donald Dewar, stressed the important linkage of Scotland's historic and royal connections.
"Holyrood is the most fitting site in historical terms," he said."The Royal Mile has been a royal route since 1128, when David 1 founded the Abbey of Holyrood. Holyrood Abbey has been a royal residence at least from the reign of Robert the Bruce, who held a parliament there in 1326. The Scottish Parliament met in Parliament House, in the Royal Mile, from 1640 to 1707."
Mr Dewar said: "I am convinced that when future generations look back to the decision we have made they will applaud the choice to create a new symbol for Scottish democracy in the heart of Scotland's capital."
Scottish Nationalists complained that the new parliament would not be located at their preferred site at Calton Hill. Their leader, Mr Alex Salmond, l said the decision was "extremely regrettable" and had "broken the consensus" for Calton Hill.
Mr Dewar, who is widely expected to emerge as Scotland's First Minister, showed no inclination to yield to nationalist sentiment, declaring: "The final decision was not reached lightly. The most important factor is the opportunity to construct a purpose-built parliament which can make a forward-looking statement about Scotland's future as a successful modern democracy within the United Kingdom."
The minister refused to say for how much the brewers Scottish & Newcastle sold the site, but said the government had got good value for money.
He announced an international architectural competition to design the new building for the site. However, work on the project is not expected to start until 1999, the year of the first elections to the new parliament scheduled to assume power in January 2000.
Mr Dewar denied yesterday that Labour was "arrogant" in assuming he would emerge as First Minister, Scotland's de facto prime minister.
While his decision to seek election to the new parliament won Mr Blair's approval, the Nationalists observed that the choice of First Minister rested with the people in a democratic vote.
Mr Dewar acknowledged this yesterday, and the fact that proportional representation might make it difficult for Labour to secure an outright majority.