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They were formed largely by Brian Nugent, a former member of the Scottish National Party (SNP) who announced on January 1, 2004 that he was forming a Scottish Party advocating independence, but unlike the SNP, outwith the European Union (EU). This project evolved from the Scottish Party to the Free Scotland Party. This name change was precipitated by the fact that the UK Electoral Commission refused to allow them to register the name Scottish Party, resulting in a new name becoming necessary.
The FSP intend to run candidates in the 2004 European Parliament election. They have stated that they will support measures to withdraw Scotland from the EU.