Seòmar agus comataidhean

Thank you, convener, and good morning, members.

The First-tier Tribunal for Scotland (Transfer of Functions of the Council Tax Reduction Review Panel) Regulations 2023 will, if approved, transfer the functions of the council tax reduction review panel to the Scottish tribunals structure that was created by the Tribunals (Scotland) Act 2014. The 2014 act created a new, simplified statutory framework for tribunals in Scotland by establishing the Scottish tribunals. The framework brings together existing tribunal jurisdictions and provides a structure for new jurisdictions.

The functions of the council tax reduction review panel and the valuation appeals committees, as well as certain functions of the Lands Tribunal for Scotland, are to be transferred to the Scottish tribunals on 1 April 2023. The regulations that cover the transfer of the functions of the valuation appeals committees and the Lands Tribunal for Scotland were considered at a previous meeting of the committee.

In relation to the regulations that are before the committee today, the council tax reduction scheme provides lower-income households with a reduction in their council tax liability. An applicant who is unhappy with their local authority’s decision on council tax reduction can ask for a review. If they are still unhappy following the review, they can apply to the council tax reduction review panel for a review of the local authority’s decision. The regulations transfer the existing functions of the council tax reduction review panel to the First-tier Tribunal for Scotland’s local taxation chamber and abolish the council tax reduction review panel.

Going forward, therefore, appeals of local authority decisions in relation to council tax reduction will be heard by the First-tier Tribunal local taxation chamber. The regulations also make consequential amendments to primary and secondary legislation resulting from the transfer of functions to the Scottish tribunals.

I understand that the Delegated Powers and Law Reform Committee considered the regulations on 10 January 2023. The DPLR Committee identified an incorrect cross-reference in the regulations. Officials have proposed that the instrument is amended prior to signing to correct the erroneous reference. The DPLR Committee noted the proposal for rectifying the error and agreed that the instrument should be drawn to the attention of the Parliament on general reporting grounds.

I am happy to answer any questions.

Thanks for that question. The Government was very aware of CPAG’s response during the consultation process.

The United Kingdom Government’s Welfare Reform Act 2012 abolished council tax benefit, removing council tax support from the benefit system. In response, the Scottish Government introduced the council tax reduction scheme, which creates a schedule of means-tested reductions to an individual’s council tax liability. It is important to point out that council tax reduction is not a benefit and is not administered by Social Security Scotland, which is what the social security chamber deals with. Rather, council tax reduction reduces applicants’ liability for council tax. It was a policy decision that all appeals relating to council tax, including council tax reduction, should be heard by the local taxation chamber, as they are issues that relate to local taxation.

In drawing up the regulations, Government officials were mindful of the complexities around council tax reduction and about the people who may be bringing cases to the local taxation chamber. The officials may want to elaborate a little bit on that.

Thank you, convener, and good morning, members.

This suite of three sets of regulations will transfer all the functions of the valuation appeals committee and certain functions of the Lands Tribunal for Scotland to the Scottish tribunals, and will set out the composition of those tribunals when they are exercising the transferred functions.

The Tribunals (Scotland) Act 2014 created a new simplified statutory framework for tribunals in Scotland by establishing the Scottish tribunals, consisting of the First-tier Tribunal for Scotland and the Upper Tribunal for Scotland. That framework brings the range of existing tribunal jurisdictions together into one system and provides a structure for new jurisdictions coming in.

The valuation appeals committee and some limited functions of the Lands Tribunal for Scotland are due to be transferred to the Scottish tribunals on 1 April 2023. The draft First-tier Tribunal for Scotland (Transfer of Functions of Valuation Appeals Committees) Regulations 2023 provide for the transfer of the existing functions of the valuation appeals committees to the First-tier Tribunal for Scotland local taxation chamber. Existing members of the valuation appeals committees will not transfer to the Scottish tribunals; instead, members have been appointed through a fair and open recruitment process that was undertaken by the Judicial Appointments Board for Scotland.

In addition, the regulations make provision for cases that are in progress on the date of transfer, and they make amendments to primary and secondary legislation that are necessary as a consequence of the transfer of the functions.

The second instrument is the draft Upper Tribunal for Scotland (Transfer of Valuation for Rating Appeal Functions of the Lands Tribunal for Scotland) Regulations 2023. Currently, appeals in relation to non-domestic rates cases can, in certain circumstances, be referred from a valuation appeals committee to the Lands Tribunal for Scotland. Such circumstances have included cases in which the facts were particularly complex, the law was particularly difficult to apply or the property in relation to the valuation that was being appealed straddled two valuation areas. A decision by a valuation appeals committee not to refer a case to the Lands Tribunal for Scotland can also be appealed to the Lands Tribunal for Scotland.

Upon transfer of those matters to the Scottish tribunals, a referral system similar to the current one will be retained, but with qualifying cases being referred to the Upper Tribunal. That will ensure that complex or significant cases can be considered by a body with additional expertise and that the matters are dealt with entirely within the Scottish tribunals system. Parties will also be able to pursue an appeal to the Upper Tribunal if they disagree with a decision of the First-tier Tribunal not to refer such a case.

Finally, the draft First-tier Tribunal for Scotland Local Taxation Chamber and Upper Tribunal for Scotland (Composition) Regulations 2023 specify the number and types of members—for example, judicial, legal or ordinary—of the local taxation chamber of the First-tier Tribunal who are required in relation to the different appeals before that body. Likewise, the regulations set out the membership of the Upper Tribunal when it considers appeals or referrals from the First-tier Tribunal. I understand that the Delegated Powers and Law Reform Committee considered the regulations on 20 December 2022 and raised no points on them.

The functions of another body, the Council Tax Reduction Review Panel, are also due to be transferred to the First-tier Tribunal, to take effect at the same time. That transfer is provided for in a separate set of regulations, which I know will be considered by the committee at a later meeting.

I would be happy to answer any questions, and my officials are also here to help.

Thank you, convener, and good morning to you and fellow members. Thank you for the opportunity to speak to the committee about the draft Legal Aid and Advice and Assistance (Miscellaneous Amendment) (Scotland) Regulations 2023.

The regulations have been introduced to deliver changes to legal aid regulations, and primarily to ensure continuing access to justice for vulnerable people in our society. My first point is that they will do that by supporting the response to the cost of living crisis through enabling the Scottish Legal Aid Board to disregard for means assessment additional state benefit payments that have been made in recognition of the increased economic hardship that is currently being suffered by households that are reliant on social security support. If the regulations are not approved, the Scottish Legal Aid Board will be unable to disregard such payments across all aid types. That will mean that, for example, additional money that is paid to recipients of disability benefits could form part of an assessment, should publicly funded legal assistance be sought.

Secondly, the regulations will enable the Scottish Legal Aid Board to disregard for means assessments compensatory awards made by the state arising from a person receiving contaminated blood or blood products from the national health service prior to September 1991. Again, those payments by the state, which recognise a wrong against a person, can be disregarded for all types of legal aid only if the regulations are approved.

Finally, the regulations will also extend the provision of a type of legal aid that is known as assistance by way of representation—ABWOR—so that it may be available to siblings of a child who is subject to children’s hearings proceedings and who either have or are seeking rights to participate in those proceedings. Under the current legislation, ABWOR provision is available only to a child who is subject to the proceedings, relevant persons or a person seeking to be deemed a relevant person in relation to that child.

The availability of ABWOR to siblings will not be means tested and subject to an effective participation test that is approved by the Scottish Legal Aid Board. That recognises that, although the role of siblings in the children’s hearings system is important, it is limited, and other procedural safeguards are in place that can facilitate regard being had to their views.

That is a brief overview of the regulations and their context. I am happy to answer any questions.

I have a small comment about an issue that we must recognise is significant—the expansion with regard to kinship care. The committee has heard directly from the fantastic people across Scotland who deliver such care. The regulations seek to make their lives, and the lives of the children they look after, that much better.

I invite the minister to sum up the debate and to respond to the points that have been made.

We move to agenda item 2, which is formal consideration of motion S6M-05966, which calls on the committee to recommend approval of the Social Security (Miscellaneous Amendment and Transitional Provision) (Scotland) Regulations 2022. I remind everybody that only the minister and members may speak during the debate. I invite the minister to speak to and move the motion.

The committee will report on the outcome of its consideration of the regulations in due course. I invite the committee to delegate authority to me, as convener, to approve a draft of the report for publication. Is that agreed?

Members indicated agreement.

I thank the minister and his officials for joining us, despite Covid, to ensure that we can get the regulations in front of Parliament as soon as possible.

The committee will now move into private session to consider its draft pre-budget scrutiny 2023-24 report.

Thank you both very much for explaining that to us.

Our final questions are from Foysol Choudhury, who joins us remotely.