Chamber
Meeting of the Parliament 31 October 2012
31 Oct 2012 · S4 · Meeting of the Parliament
Item of business
Local Government Finance (Unoccupied Properties etc) (Scotland) Bill
I come to this debate as a relatively new member of the Local Government and Regeneration Committee. I was not a member of the committee when the Local Government Finance (Unoccupied Properties etc) (Scotland) Bill was debated at stage 1. That said, it is clear to me that not all property owners have been vigorous in their approach when dealing with long-term empty properties.
The proposal to give local authorities a provision to increase council tax charges on long-term empty properties will have the effect of positively dealing with long-term empty homes. Equally, I know that various agencies, including the national review of town centres, have been involved in the discussion around how best to regenerate town centres.
There was general agreement by the Local Government and Regeneration Committee of the principles as outlined in the legislation, although some clarification of the proposals was desired.
Clearly, some sectors of the business community, such as the Scottish Retail Consortium, are not satisfied with regard to the business rates relief issue. The proposal has been described by some as contentious. With regard to the proposal that businesses will get a 10 per cent discount on unoccupied properties, the actual situation is that business have not shown sufficient incentive while they have received a 50 per cent discount on unoccupied properties.
I know that the minister gave a commitment at stage 2 that confirmed the Government’s intention to introduce future regulations to reform empty property rates relief and create a new incentive for new occupation of long-term empty shops and offices. The fresh start scheme aims to provide business rates relief for a year and encourage new occupants of offices and shops that are lying empty.
At stage 2 of the bill, the Government allayed the concerns that were noted during the stage 1 debate, particularly in relation to the fine for not registering an empty property going up from £200 to £500. I know that that is a matter of discretion for local authorities, but I hope that the minister keeps it under constant review and thinks about whether the revised figure is sufficient, as it is not even a week’s rental income for some owners.
The light-touch regulation that is associated with the landlord registration scheme came in for some criticism from me and others in the previous session of the Parliament. I trust that we can move forward and that the legislation assists in that process.
The intention of getting empty properties back into use is of real merit as, according to Shelter, there are around 23,000 long-term empty houses. The issue is brought home to me when I see people who seek housing looking enviously at an empty property in a village of pressured-area status, wishing that they could call that their home, but that property has been lying empty for a number of years and the owner has no intention of letting it or selling it on.
The issue of regenerating our existing town centres is a tall order, especially when there are out-of-town shopping centres that are geared towards cars, which makes the retail decision for some consumers not exactly a difficult choice. There is a lack of parking spaces in towns throughout certain parts of—
The proposal to give local authorities a provision to increase council tax charges on long-term empty properties will have the effect of positively dealing with long-term empty homes. Equally, I know that various agencies, including the national review of town centres, have been involved in the discussion around how best to regenerate town centres.
There was general agreement by the Local Government and Regeneration Committee of the principles as outlined in the legislation, although some clarification of the proposals was desired.
Clearly, some sectors of the business community, such as the Scottish Retail Consortium, are not satisfied with regard to the business rates relief issue. The proposal has been described by some as contentious. With regard to the proposal that businesses will get a 10 per cent discount on unoccupied properties, the actual situation is that business have not shown sufficient incentive while they have received a 50 per cent discount on unoccupied properties.
I know that the minister gave a commitment at stage 2 that confirmed the Government’s intention to introduce future regulations to reform empty property rates relief and create a new incentive for new occupation of long-term empty shops and offices. The fresh start scheme aims to provide business rates relief for a year and encourage new occupants of offices and shops that are lying empty.
At stage 2 of the bill, the Government allayed the concerns that were noted during the stage 1 debate, particularly in relation to the fine for not registering an empty property going up from £200 to £500. I know that that is a matter of discretion for local authorities, but I hope that the minister keeps it under constant review and thinks about whether the revised figure is sufficient, as it is not even a week’s rental income for some owners.
The light-touch regulation that is associated with the landlord registration scheme came in for some criticism from me and others in the previous session of the Parliament. I trust that we can move forward and that the legislation assists in that process.
The intention of getting empty properties back into use is of real merit as, according to Shelter, there are around 23,000 long-term empty houses. The issue is brought home to me when I see people who seek housing looking enviously at an empty property in a village of pressured-area status, wishing that they could call that their home, but that property has been lying empty for a number of years and the owner has no intention of letting it or selling it on.
The issue of regenerating our existing town centres is a tall order, especially when there are out-of-town shopping centres that are geared towards cars, which makes the retail decision for some consumers not exactly a difficult choice. There is a lack of parking spaces in towns throughout certain parts of—
In the same item of business
The Deputy Presiding Officer (Elaine Smith)
Lab
The next item of business is a debate on motion S4M-04598, in the name of Derek Mackay, on the Local Government Finance (Unoccupied Properties etc) (Scotland...
The Cabinet Secretary for Finance, Employment and Sustainable Growth (John Swinney)
SNP
For the purposes of rule 9.11 of the standing orders, I advise the Parliament that Her Majesty, having been informed of the purport of the Local Government F...
The Deputy Presiding Officer
Lab
Thank you very much, cabinet secretary.We now begin the debate. I call Margaret Burgess to speak to and move the motion in the name of Derek Mackay.16:17
The Minister for Housing and Welfare (Margaret Burgess)
SNP
I am pleased to open the stage 3 debate on the Local Government Finance (Unoccupied Properties etc) (Scotland) Bill. I thank the Local Government and Regener...
Hanzala Malik (Glasgow) (Lab)
Lab
Will the minister consider, under secondary legislation, changing that period of time—for small businesses only—from three months to six months? It is a shor...
Margaret Burgess
SNP
Many of those businesses would be exempt from business rates in any case, but the Minister for Local Government and Planning has said that he will review the...
Sarah Boyack (Lothian) (Lab)
Lab
I thank those who gave evidence to the committees that dealt with the bill, the organisations that lobbied us, and the committee clerks.From the outset, Labo...
The Minister for Local Government and Planning (Derek Mackay)
SNP
The figures are not true, of course—but even the figure that the Labour Party has conjured up excludes £2.3 billion of non-domestic rates from the local gove...
Sarah Boyack
Lab
The evidence that was presented to the committee and MSPs. There are not only demolitions in the industrial sector; there are demolitions in the commercial s...
Derek Mackay
SNP
Will the member take an intervention?
Sarah Boyack
Lab
No. I have answered the minister’s question. He asked about the evidence, and I have told him what it is.We have been told—by town centre managers, I think—t...
John Mason (Glasgow Shettleston) (SNP)
SNP
Will the member take an intervention?
Sarah Boyack
Lab
No. I want to get on and address the minister’s other point about estimates.Glasgow City Council estimates that, on its own, it will take more than £1 millio...
Derek Mackay
SNP
Sorry. Can the member say that again?
Sarah Boyack
Lab
I will repeat it for the minister’s benefit. The information that was submitted to me by Glasgow City Council is that it alone will have to pay more than £1 ...
Derek Mackay
SNP
I am happy that the member will take my intervention. Perhaps she would like to have another go at citing exactly which evidence she was talking about when s...
Sarah Boyack
Lab
I gave the minister the source: I said that it related to town centre managers. I am sure that that was the reference that we got. I will certainly check the...
Margaret Mitchell (Central Scotland) (Con)
Con
I cannot pretend that it gives me any pleasure to speak in this stage 3 debate on the Local Government Finance (Unoccupied Properties etc) (Scotland) Bill, w...
Derek Mackay
SNP
In light of what the member has just said, does she have a view on the United Kingdom Government’s intervention on listed properties, which will be exempt fr...
Margaret Mitchell
Con
The UK Government proposals that the minister is talking about are not part of the bill; they are not relevant. What the UK Government is doing is looking at...
The Presiding Officer (Tricia Marwick)
NPA
We now move to the open debate. I remind members that speeches are four minutes. If everybody keeps to their four minutes, it will ensure that everyone who h...
John Wilson (Central Scotland) (SNP)
SNP
I come to this debate as a relatively new member of the Local Government and Regeneration Committee. I was not a member of the committee when the Local Gover...
The Presiding Officer
NPA
You need to start to bring your remarks to a close.
John Wilson
SNP
Thank you, Presiding Officer. In many ways, the traditional town centre has been losing out as a result of wider societal change, and the challenge is for it...
Anne McTaggart (Glasgow) (Lab)
Lab
I want to express my concerns on the challenging process and the questionable content of the bill.As a member of the Local Government and Regeneration Commit...
George Adam (Paisley) (SNP)
SNP
I am extremely pleased to speak in this debate. I do so not in a cold or academic way, because the town that I represent, and in which I was born, has alread...
Jim Hume (South Scotland) (LD)
LD
The member mentioned that he consulted two children. Did he actually consult any businesses in Paisley regarding empty properties?
George Adam
SNP
Ironically, anyone who had listened earlier would know that our problem in Paisley is trying to retain people because of previous Administrations in Westmins...
Derek Mackay
SNP
Does the member welcome the fact that we consulted businesses on this issue, including the business improvement district steering group, which supports our d...
George Adam
SNP
Yes.We have talked about Mr Hume’s contributions to the debate. We must remember that some organisations take a purely business perspective and do not consid...