Hansard

In my role as convener of the Local Government and Communities Committee, I thank our clerks, the team at the Scottish Parliament information centre, the Government and the many people and organisations that provided us with evidence. I also thank my fellow committee members. I remind members that the committee was working to a pretty strict remit, and what came out was well worth the work that we put in. I enjoyed convening the committee throughout the bill’s legislative stages, so I am delighted to be given the opportunity to take part in today’s proceedings.

During the committee’s scrutiny of and discussion on the bill, there were some inevitable points of disagreement. I will mention them briefly. Relief for private schools was one—Murdo Fraser has just spent an inordinate amount of time discussing that—and Andy Wightman’s amendment on the devolution of business rates was another. The arguments on those two areas got a good airing yesterday, so I will not go over them again today.

Those two issues may have been the most contentious, but, lest we forget, in its stage 1 report, the committee unanimously endorsed the general principles of the bill. We welcomed it as an important staging post on the journey to modernisation of the system that began when Kenneth Barclay and his colleagues were appointed in summer 2016 with a wide remit to

“seek to enhance and reform non-domestic rates”.

To have reached the point where, it appears, we are about to pass a bill some of whose provisions will come into force in April is an impressive show of momentum, and credit is due to the Barclay review and the Scottish Government for their work.

I said that it appears that we are going to pass the bill, but the three previous speakers sounded as though they had searched through the bill to see whether they could find something that they disagreed with so that, although they seemed to support a lot of it, they could decide not to vote for it. That is disappointing.

A staging post is not a destination. The committee noted that much of the bill was a framework, with some crucial detail still to be sorted out. In the two or three minutes that I have left, I will focus on areas where the committee would agree, I think, that the momentum should be kept up.

The bill will speed up the revaluation cycle from five to three years, and everyone has welcomed that. It means more work for assessors at a time when the profession told us that recruitment and retention were becoming a bit of a problem. The Government pointed out that it has already provided welcome additional resources to the tune of £2.5 million this financial year in anticipation of the Barclay reforms. Assessors themselves accept that it is not just about money; in the longer term, the role needs to be made more visible and attractive to graduates and school leavers. Giving assessors more power to carry out their core role, as the bill does, should also help.

Everyone agrees that there are too many appeals against revaluation, and that they clog up the system. The bill puts in place ambitious reforms to the appeal system that will improve decisions and build trust in the system. It is widely accepted that we will have succeeded only if that brings the numbers down and, overall, provides finality on rates bills sooner.

In our stage 1 report, we noted three areas where changes could be made. The first is more digitalisation and a move to a more online system, and I am pleased to note that the Government appears to agree. The second is increased transparency and better communication between assessors and ratepayers. The committee heard from some ratepayers that much of the current process seems to be wrapped in mystery.

The third area is fees for appeals. The aim is not to create a new income stream, but simply to hit a pause button and make ratepayers stop and think about whether an appeal is worth the time and money. The numbers alone indicate that there is a problem, with appeals appearing to be almost an everyday part of the process.

Non-domestic rates might not get many people excited but, with hand on heart, I can say that the bill is one of the most diverse and interesting that the committee has considered during my time as convener. It has led us down interesting by-ways to golf clubs, bandstands and lace factories, among others.

Crucial challenges lie ahead, not least of which is reform of the small business bonus scheme, which the committee hopes will keep the system’s better features but eliminate its cliff edges and perverse incentives.

I hope that the bill becomes an act tonight. The committee looks forward to renewing our engagement with the non-domestic rates system in the future.