Hansard

I know that time is short, and I do not want to speak for long. However, the controversy surrounding the amendments that were debated earlier makes it worth my while to set out some thoughts on the core issue of dispute. Before I do that, I join other members in thanking the Scottish Law Commission for its work, and the DPLR Committee for the scrutiny that it carried out so diligently. I record the Scottish Liberal Democrats’ support for legislation that will, I believe, help to modernise and to bring greater clarity to the law on prescription.

Establishing a cut-off point for claims to be raised or rights to be asserted has the advantage of providing certainty and giving individuals and businesses a chance to organise their affairs and plan for the future. People who pursue a claim, debt or obligation will also benefit from the enforced discipline of making a claim in good time.

On the proposed exemption for council tax and business rates from the five-year prescription, I accept that the case may be more nuanced than has been suggested. We have heard some of that debate being played out this afternoon. CAS and others that work to support people who find themselves in financial difficulty have concerns about the exemption, as does the Law Society of Scotland. I agree that councils—like other organisations—must do everything possible to pursue debt in a timely fashion, but I struggle to accept that the 6 per cent penalty charge that attaches to unpaid council tax would act as a disincentive on the collecting council. I cannot see a council adopting a strategy—in effect, that is what it would be—to delay collections deliberately in order to increase penalty charges.

The Convention of Scottish Local Authorities’ concern that introducing five-year prescription would

“dis-incentivise payment and lead to a decline in in-year collection”

seems credible and worthy of our consideration. Even with the grace period that was suggested by Daniel Johnson, it could also inhibit current work to collect outstanding debt at a time when every council in Scotland is having to deal with budget cuts.

On balance, my party was not persuaded by the case that was put forward by Neil Findlay. Of course, we will be interested in the outcome of any future consultation on the specific issue.

However, today, I confirm that the Scottish Liberal Democrats will support the bill at decision time.