At its meeting of 10 March 2026, the Finance and Public Administration Committee considered the Scottish Landfill Tax (Standard Rate and Lower Rate) Order 2026.

The report summarises the Committee’s consideration of the order.

Scottish Landfill Tax (SLfT) is a tax on the disposal of waste to landfill, paid by site operators and charged by weight. It is charged based on two rates: a standard rate and a lower rate for ‘less polluting’ materials. The Scottish Government announces these rates as part of the annual Scottish Budget.

The rates are subsequently set with the approval of the Parliament by way of a statutory instrument (the Order). 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”.

The Scottish Budget 2026-27¹Scottish Budget 2026 to 2027. (2026). Retrieved from https://www.gov.scot/publications/scottish-budget-2026-2027/ set out the proposed SLfT rates for 2026-27. This Order specifies that the standard and lower rates for disposals will be increased from 1 April 2026 as follows—

• The standard rate is £130.75 per tonne [2025: £126.15], and

• The lower rate is £8.65 per tonne [2025: £4.05

As in previous years, SLfT rates will remain aligned to UK Landfill Tax rates for 2026-27.

The Policy Note highlights that several impact assessments have been conducted. No unintended effects have been identified. 

The Scottish Fiscal Commission estimates²Scotland’s Economic and Fiscal Forecasts (January 2026). (2026). Retrieved from https://fiscalcommission.scot/wp-content/uploads/2026/02/Scotlands-Economic-and-Fiscal-Forecasts-January-2026-revised-11-02-2026.pdf that the SLfT will generate £27 million in 2026-27. 

The DPLR Committee considered the order on 24 February 2026 and reported on it in its 21th Report, 2026¹Subordinate Legislation considered by the Delegated Powers and Law Reform Committee on 24 February 2026. (2026). Retrieved from https://bprcdn.parliament.scot/published/DPLR/2026/2/25/8a0b7b7a-7fce-4c08-adc6-1a37d20cb4f5/DPLRS062026R21.pdf. The DPLR Committee made no recommendations in relation to the instrument.

At its meeting on 10 March 2026, the Committee took evidence on the order from Ivan McKee MSP, Minister for Public Finance (‘the Minister’) and Scottish Government officials. In his opening statement, the Minister set out the Scottish Government’s reasons for laying the order. Questions were raised regarding the Scottish Government’s decision to continue to align rates with those in the UK.

Following questions, the Minister moved the following motion—

S6M-20861¹Scottish Landfill Tax (Standard Rate and Lower Rate) Order 2026 (SSI 2026/97). (2026). Retrieved from https://www.parliament.scot/chamber-and-committees/votes-and-motions/S6M-20861 - That the Finance and Public Administration Committee recommends that the Scottish Landfill Tax (Standard Rate and Lower Rate) Order 2026 (SSI 2026/97) be approved.