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All Official Reports of meetings in the Debating Chamber of the Scottish Parliament.
All Official Reports of public meetings of committees.
Displaying 2063 contributions
Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
We did have that conversation. Fionna Kell from Homes for Scotland made the point that the new-build market size has been overstated by about £1.4 billion. She also commented that we are using estimates of estimates because we are following what is happening down south. That concern played into what was alluded to earlier, which is a lack of not just financial modelling but behavioural modelling, which I think the convener was alluding to when he mentioned the Laffer curve. Do you want to put some meat on the bones of that to start to model it properly? Surely you will have to do that to set the rate. I know what you have said about a date, but you will have to have some understanding of the modelling to set the rate.
Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
What assessment have you made from a risk perspective, particularly from a corporate risk perspective, of the Supreme Court judgment earlier this year? Many organisations have left that with their HR departments, but it must be assessed as a corporate risk, given the potential for litigation. What has your approach been?
Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
That is a risk in itself, and given the slowness to respond, it is a critical risk. Somebody could litigate against you and saying that you are waiting on the Scottish Government is not a defence under the law.
Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
Do you not think that there are risks? Down south, the tax will be linked to the completion certificate—people will not be able to get that until they have paid the tax—but that is not the plan here. That seems to be a kind of—
11:30Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
I am sure that Homes for Scotland will be pleased to know that.
One of the things that we talked about—the convener touched on this, and we also had a discussion with Revenue Scotland this morning—was mitigations or the putting in place of good behaviour through compliance and special purpose vehicles, because most building firms will use them as a matter of course. During the discussion, it has become increasingly clear that we will not have the detail via secondary legislation until some way down the line. That reminds me of the committee’s old hobby-horse about using framework legislation to come up with some principles, but the devil of the detail not being around for quite some time after that, and potentially until after you have set a rate, as was being probed.
I can see that you are looking, but just to give a bit of clarity, there is a real possibility that a building firm can set up an SPV and then promptly fold it before it pays the tax. Yes, mitigations can be put in place, but the process is long, involved, complex and expensive for Revenue Scotland. I am just trying to get your feelings about that approach. Surely, in a perfect world, we would not do all of this in that way.
Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
Is cognitive diversity part of your mix?
Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
That is good, and I will watch the situation with interest.
On the gender pay gap, women on average are earning 5.9 per cent less than men, but that figure has increased from 1.6 per cent since the previous reporting period. Again, I appreciate that the scale of the organisation can mean that that can quite quickly become skewed, particularly with senior appointments, but it would be useful to hear your reflections on why that is the case, because the figures are going in the wrong direction.
Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
The complexity of the issue and the detail that we agree is required take us back to the timescales that Elaine alluded to earlier. That work has to be done for you to have a level of comfort that the tax can be collected in the manner in which you want.
Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
Thank you.
Finance and Public Administration Committee
Meeting date: 18 November 2025
Michelle Thomson
Okay.
I appreciate that active consideration has been given to developers, so that they get money in so that they can pay the tax. Build to rent is, obviously, a slightly different model. What consideration has been given to build to rent specifically? Obviously, it is also an important pathway to get us to the number of housing completions that we need.