When I was 12, I lived in Saudi Arabia and went to a one-classroom "school" with the children of other employees: an English girl, a Scottish girl, a French girl, a German girl, and 2 Dutch boys.
I learned the hard way never to call a Scottish person English. I'll never forget how that Scottish girl tongue lashed me when I did so! Now I have a PhD in British literature, specializing in the Renaissance. If Mechelle from Scotland could see me now! Anyway, I've been watching this with interest and I've read arguments from both sides.
I saw a tweet earlier by Jeremy Clarkson where he said the British should take a day to moan and then figure out a way to make it work. If history is any indication, the British will indeed find a way. The UK is one amazing country, warts and all.