Introduction of an Infrastructure Charging Mechanism in Scotland: research project

Annex E. Application of Legal Processes

This sub-section outlines the legislative change requirements for each delivery option, and sets out an indicative delivery timetable.

Central Coordinated Option

As explained above, the main requirements for instituting the would require:

• Further devolution of powers from Westminster to the Scottish Parliament.

This could be achieved through an Order in Council, which is a form of secondary legislation of the UK Government. It would not therefore need approval by the UK Parliament. There is no guarantee that the UK Government would be willing to promote the secondary legislation that would be required. Even if it was, it is likely to take some time to achieve, particularly in the wider context of Brexit and the amount of parliamentary time that will be devoted to Brexit legislation (including substantial amounts of secondary legislation) in the coming years.

Once granted, the IGC could be introduced in Scotland via primary legislation of the Scottish Parliament. It is likely that primary legislation would set out the broad powers needed for IGC to be introduced, with the detail to be fleshed out in secondary legislation.

Further guidance from the Scottish Ministers on the application of the regulations in practice would likely be required.

Local Coordinated Option

Implementing the within devolved powers would require:

• Primary legislation of the Scottish Parliament;
• Secondary legislation by the Scottish Ministers; and
• Statutory guidance.

In particular, there would likely need to be detailed guidance for planning authorities on ensuring a sufficiently local connection for any spending on infrastructure, particularly if payments were being made to third party bodies or if funds were being applied to cross-authority projects. This may be achieved by ensuring close alignment with Local Development Plans.

Draft Delivery Programme

This subsection sets out a high-level timescale for the delivery of the IGC variants.
It is difficult to anticipate detailed timescales for delivery without a clearer understanding of the design stages. Theses delivery timescales are therefore indicative but reflects professional judgment with respect to likely design, development and implementation. Central Coordinated Option

• Stage 1: Lobbying UK Government for change to devolved taxation powers and securing necessary legislative change: 1-2 years;
• Stage 2: Drafting Bill for progression through the Scottish Parliament up to obtaining Royal Assent: 1-2 years;
• Stage 3: Preparing and giving effect to regulations and statutory guidance: 1-2 years; and
• Stage 4: Allowing a period of time for implementation in practice: 1-2 years.

Note that many of these steps may run contemporaneously, so the overall timescale for delivery (from design to implementation) is likely to be between 3 and 5 years.

Local Coordinated Option

• Stage 1: Drafting Bill for progression through the Scottish Parliament up to obtaining Royal Assent: 1-2 years;
• Stage 2: Preparing and giving effect to regulations and statutory guidance:
  1-2 years; and
• Stage 3: Allowing a period of time for implementation in practice: 1-2 years.

Note that many of these steps may run contemporaneously, so the overall timescale for delivery (from design to implementation) is likely to be between 2 and 4 years.

It is difficult to anticipate the requirements for preparing existing organisations and government bodies for the delivery of both variants of the IGC. Specific legislative, administrative and other practical challenges have not been scoped at this stage and would likely arise in the detailed design stage. Approximate estimates of set up and administration costs are provided in Annex F.