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Scotland retains its own unique legal system, based on Roman law, which combines features of both civil law and common law. The terms of union with England specified the retention of separate systems. The barristers being called advocates, and the judges of the high court for civil cases are also the judges for the high court for criminal cases. Scots Law differs from England's common law system.

In 1512 under a treaty extending the Auld Alliance, all nationals of Scotland and France also became nationals of each other's countries, a status not repealed in France until 1903 and which may never have been repealed in Scotland. However a year later, the Auld Alliance had more disastrous effects when James IV was required to launch an invasion of England to support the French when they were attacked by the English under Henry VIII. The invasion was stopped decisively at the battle of Flodden Field during which the King, many of his nobles, and over 10,000 troops — The Flowers of the Forest — were killed. The extent of the disaster impacted throughout Scotland because of the large numbers killed, and once again Scotland's government lay in the hands of regents.

This state of affairs continued until May 1999 when Scotland's Parliament was established following a referendum. Whereas the old Scottish Parliament had functioned as the full parliament of a sovereign state, the new parliament governs the country only on domestic matters, the United Kingdom Parliament having retained responsibility for Scotland's defence, international relations and certain other areas.

Scotland has many national sporting associations, such as the Scottish Football Association (SFA) or the Scottish Rugby Union (SRU). This gives the country independent representation at many international sporting events such as the football World Cup. Scotland cannot compete in the Olympic Games independently however, and Scottish athletes must compete as part of the Great Britain team if they wish to take part. Scotland does however send its own team to compete in the Commonwealth Games.

From 1652 to 1658, Scotland formed an integral part of the Puritan-governed Commonwealth, under English control but gaining equal trading rights. Upon its collapse, nominal independence returned with the restoration of Charles II to the throne. Scotland regained its parliament, but the English Navigation Acts prevented the Scots from sharing its commercial success to escape impoverishment. A formal frontier between the two countries was re-established, with customs duties which, while they protected Scottish cloth industries from cheap English imports, also denied access to English markets for Scottish cattle on the hoof or Scottish linens (Braudel 1984 p 370).

Church of England broke with Catholicism primarily for political reasons. Thus they replaced very little traditional Catholic theology, except to substitute the Crown for the Pope as the head of the Church. The Scots on the other hand were primarily Presbyterian, a movement which was the result of a strong theological rejection of certain Catholic teachings. In particular they were sceptical of the authority of the Pope and priesthood generally, which they rejected in favour of the priesthood of all believers. This doctrine was seen by both sides as radically undermining the authority not just of the priestly class, but of the aristocracy since it was essentially democratic.

After World War II Scotland's economic situation became progressively worse until the 1970s, and only began to turn around after the discovery and development of North Sea oil and gas. During this period the Scottish National Party refocused their arguments for Scottish independence around their "It's Scotland's Oil" campaign.