A tax on developers to raise funds to help fix building safety
issues will be considered in Scotland under powers secured from
the UK Government.
The proposed Scottish Building Safety Levy would apply to the
construction of new residential buildings, mirroring measures
being introduced in England through the Building Safety Act
passed by the UK Parliament.
Funds raised through the levy would support the Scottish
Government's cladding remediation programme.
Deputy First Minister and Finance Secretary said:
“We are determined to safeguard people living in buildings with
unsafe cladding. I know that developers share this determination
and have made significant progress to
date.
"However, it is clear more needs to be done and these powers will
ensure that developers make a fair contribution to address
building safety defects in Scotland, just as the UK Government is
asking them to do in England. I welcome the UK Government's
collaborative approach on this issue.
“It is important that we also continue working side by side with
developers. To that end, and in line with our New Deal for
Business and Framework for Tax, we will now liaise with the
sector to ensure this levy best contributes to our mission of
keeping people safe.”
Background
Answer from Deputy First
Minister Shona Robison to Scottish Parliament Written
Question S6W-26932 on the levy
The 2023-24 Programme for Government committed the Scottish
Government to seek the transfer of powers to introduce a new tax
in Scotland equivalent to the UK Government's Building Safety
Levy for England.
A joint consultation sought views on the devolution proposal,
including any evidence to inform consideration of the potential
for the new tax to create or incentivise economic distortions and
arbitrage within the UK.
Consultation on devolving
powers for a Scottish Building Safety Levy - GOV.UK
(www.gov.uk)
The UK Government will now legislate to devolve the necessary
powers to the Scottish Parliament to introduce a Scottish
Building Safety Levy.
Details of how the Scottish Building Safety Levy will operate
will be developed through consultation and liaison with the UK
Government and housebuilding sector.
