At its meeting on 7 March 2023, the Finance and Public Administration Committee took evidence from the Minister for Public Finance, Planning and Community Wealth, Tom Arthur MSP, in relation to—

The Scottish Landfill Tax (Standard Rate and Lower Rate) Order 2023 (SSI 2023/50)

The Official Report of the evidence session is available on the Committee’s website.

The Order was laid before Parliament on 22 February 2023, and is subject to the provisional affirmative procedure. Section 41(3)b of the Landfill Tax (Scotland) Act 2014 states that such an order—

“ceases to have effect at the expiry of the period of 28 days beginning with the date on which it was made unless, before the expiry of that period, the order has been approved by resolution of the Parliament”.

It provides for the annual increase in Scottish Landfill Tax rates, specifying that the standard and lower rates for disposals will be increased from 1 April 2023 (as announced in the Scottish Budget 2023-24), as follows—

• standard rate is £102.10 per tonne (currently £98.60), and

• lower rate is £3.25 (currently £3.15).

The policy note in relation to the instrument states that “Scottish Government considers that these rates will provide appropriate financial incentives to support the policy aim of reducing the amount of material sent to landfill and supporting a more circular economy”. It adds that the increase means that rates will remain consistent with those in the rest of the UK, “addressing the risk of waste tourism”.

Finally, the policy note highlights the Scottish Fiscal Commission forecast of December 2022, which expects the Scottish Landfill Tax to generate revenue of £79 million in 2023-2024 (a full-year estimate).

The Delegated Powers and Law Reform (DPLR) Committee, which considers the technical aspects of the instrument, considered the Regulations on 28 February and had no issues to report.

Following evidence to the Finance and Public Administration Committee on 7 March, the Minister for Public Finance, Planning and Community Wealth moved motion S6M-08009 in his name—

That the Finance and Public Administration Committee recommends that the Scottish Landfill Tax (Standard Rate and Lower Rate) Order 2023 (SSI 2023/50) be approved.