Disclosure (Scotland) Act 2020 – accredited body fees and discounting proposals: business and regulatory impact assessment

8. Scottish Firms Impact Test

The 2018 consultation provided an indicative basis for the development of proposals in relation to accredited body fees. During this engagement several options for reform were presented and the impacts discussed. These were presented in the statutory consultation that ran for 12 weeks from 24 April 2018. Not only were the views on various options requested, there were also a number of questions specifically asking about the impact of the proposals on businesses and organisations.

Businesses were asked to consider a projection of the impact of changing fees to their organisation.

The main concerns were around:

• potential for a significant increase to annual costs due to existing membership renewals
• the administrative burden of a time limited scheme could deter people from volunteering

No specific concerns were raised by small or larger businesses in relation to an inflationary increase in accredited body fees. It was acknowledged that, while fee increases are rarely welcomes, that costs have increased and it was anticipated that an increase in accredited body fees would be forthcoming.

Updated engagement with specific sectors and businesses on the proposals will take place during the formal public consultation period. Disclosure Scotland has identified key interested parties in relation to these proposals to have face-to-face and online engagement sessions with.

This will inform the Scottish Firms Impact Test.

8.1 Competition Assessment

The Scottish Government has considered the following questions to establish whether a full competition assessment is required:

• Will the measure directly or indirectly limit the number or range of suppliers?
• Will the measure limit the ability of suppliers to compete?
• Will the measure limit suppliers' incentives to compete vigorously?
• Will the measure limit the choices and information available to consumers?

The Scottish Government has concluded that the answer to each of these questions is no and therefore no further competition assessment is required.

8.2 Consumer Assessment

Consideration is being given as part of these proposals on consumers whose circumstances make them more vulnerable. They do not increase opportunities for unscrupulous suppliers to target consumers or impact the information available to consumers in different ways. As currently, different consumers will also have the same routes to raise complaints or access refunds under Disclosure Scotland's refund policy.

8.3 Test run of business forms

Disclosure Scotland's Digital programme is developing the applications for Level 1 and Level 2 disclosures, including payment. Any applications brought in to facilitate new processes such as fee waivers will be tested before implementing and results will be reflected in their ongoing impact assessment.

8.4 Digital Impact Test

Disclosure Scotland's Digital programme is developing the platform for applications for Level 1 and Level 2 disclosures, including payment. Disclosure Scotland currently takes a digital first approach but facilitates alternative routes for customers to access its services. Consideration will continue to be given to this when looking to implement new processes or policies.