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Last December, my predecessor as minister sent a letter to the Criminal Justice Committee with some annexes that it might be helpful for us to share with this committee in relation to its consideration of how we reform legal aid in the future.

In his report on the independent strategic review of legal aid in 2018, Martyn Evans stated that he was unable to recommend any concrete legal aid fee reforms because of the complexity of the system. Given the necessity of benchmarking the use of public money, I am clear that we need to gather in all the data. That will be important for enabling us to set out from the beginning what those reforms will look like.

As I said, it is a complex state of affairs and it would be helpful if we can provide that information to the committee to help members to understand the situation as we go forward in reform. We need to ensure that we take the time to get that right. There is no rushing that.

Good morning, convener and members. Thank you for the opportunity to speak to the committee about the Legal Aid and Advice and Assistance (Miscellaneous Amendment) (Scotland) (No 2) Regulations 2023.

The instrument has been laid to deliver changes to legal aid regulations, primarily to ensure continuing access to justice in Scotland. It provides for an overall 10.25 per cent uplift in legal aid fees, distributed via a combination of targeted fee reforms and uplifts and overall increases.

The solemn and summary criminal fee reforms have been revised to ensure that, augmented by increases in specific fees, they deliver an overall increase of 10.3 per cent in fees payable for such cases. All other criminal fees not affected by fee reforms will be uplifted by 10.2 per cent. All civil and children’s fees will be uplifted by 10.2 per cent.

Restoring the criminal justice system in light of the impact of the Covid pandemic is critical to all involved in the justice system. The instrument implements a long-standing commitment to reform solemn and summary fees to deliver simplification and to better recognise preparatory work that is undertaken before a trial. The changes are a vital part of the Scottish Government’s wider strategic reform objectives.

The amendments to legal aid fees will also support the recover, renew, transform programme through enhanced remuneration where it is appropriate for there to be early resolution in cases. By supporting early resolution, the reforms will reduce the number of cases for which trial diets are fixed. That will assist with the courts recovery programme in tackling a backlog of cases due to the Covid lockdown and providing a more timely conclusion for victims and witnesses of crime.

That gives a brief overview of the draft regulations and their context. I am happy to answer any questions.

I have thought about the thresholds and what they mean for people who do not have access to legal aid. I am definitely keen to understand the figures, but I do not know whether those are available—

The purpose of the instrument is to carry out some of the reform of the section 76 fees, which will help by resolving cases before they get to trial, where that is appropriate. I should also mention the across-the-board uplift in fees for the different sectors in the justice system.

However, I think that we need to take a wider look and think about the diversity issues; indeed, a group has been set up to look at those issues in detail. The figures quoted in the letter are of concern to me, too, but I should point out that, in some of the areas that we are talking about, there are really fantastic law centres that are being supported by the Scottish Legal Aid Board and the Scottish Government. They are going to see a 10 per cent increase in their funding, too.

I announced yesterday that a lot of the organisations that are funded through the Scottish Government and the Scottish Legal Aid Board for access to justice projects have had their funding agreed for the year ahead, and some of those projects are in some of our most deprived areas, too. Therefore, although I understand the concern that has been raised, I draw some level of comfort from knowing that there are law centres doing a fantastic job in those areas and that we are going to support them.

It might be helpful if I bring in Denise Swanson at this point.

If the regulations today are agreed, once implemented, that will give an £11 million increase from April, which is going to be of benefit. In order to understand how we need to increase the fees going forward, we have to have that benchmarking information and that data. It might be helpful if I bring in Shona Urquhart at this point to speak a bit more directly to the question that Rachael Hamilton has asked.

Thank you for that further probing question, which requires a good answer.

Several existing members will be transferring to the local taxation chamber and they will carry their really good working knowledge with them. There is a thorough training package in place for any new members of a chamber, regardless of which chamber it might be.

We will ensure that people who are appointed to the chamber understand the very issue that you have raised in relation to dealing with the complexities of such cases, in which an element of discretion and understanding might be needed to ensure that people can access the justice that they are looking for.

It is important that we recognise that the chamber will not be dealing with anybody’s underlying entitlement to anything. However, the signposting element of anybody’s work is really important. I might need to come back to the committee with a fuller answer on that point, but I have definitely heard what you and Pam Duncan-Glancy have said in that regard.

Thank you, convener, and good morning, members.

The First-tier Tribunal for Scotland (Transfer of Functions of the Council Tax Reduction Review Panel) Regulations 2023 will, if approved, transfer the functions of the council tax reduction review panel to the Scottish tribunals structure that was created by the Tribunals (Scotland) Act 2014. The 2014 act created a new, simplified statutory framework for tribunals in Scotland by establishing the Scottish tribunals. The framework brings together existing tribunal jurisdictions and provides a structure for new jurisdictions.

The functions of the council tax reduction review panel and the valuation appeals committees, as well as certain functions of the Lands Tribunal for Scotland, are to be transferred to the Scottish tribunals on 1 April 2023. The regulations that cover the transfer of the functions of the valuation appeals committees and the Lands Tribunal for Scotland were considered at a previous meeting of the committee.

In relation to the regulations that are before the committee today, the council tax reduction scheme provides lower-income households with a reduction in their council tax liability. An applicant who is unhappy with their local authority’s decision on council tax reduction can ask for a review. If they are still unhappy following the review, they can apply to the council tax reduction review panel for a review of the local authority’s decision. The regulations transfer the existing functions of the council tax reduction review panel to the First-tier Tribunal for Scotland’s local taxation chamber and abolish the council tax reduction review panel.

Going forward, therefore, appeals of local authority decisions in relation to council tax reduction will be heard by the First-tier Tribunal local taxation chamber. The regulations also make consequential amendments to primary and secondary legislation resulting from the transfer of functions to the Scottish tribunals.

I understand that the Delegated Powers and Law Reform Committee considered the regulations on 10 January 2023. The DPLR Committee identified an incorrect cross-reference in the regulations. Officials have proposed that the instrument is amended prior to signing to correct the erroneous reference. The DPLR Committee noted the proposal for rectifying the error and agreed that the instrument should be drawn to the attention of the Parliament on general reporting grounds.

I am happy to answer any questions.

Thanks for that question. The Government was very aware of CPAG’s response during the consultation process.

The United Kingdom Government’s Welfare Reform Act 2012 abolished council tax benefit, removing council tax support from the benefit system. In response, the Scottish Government introduced the council tax reduction scheme, which creates a schedule of means-tested reductions to an individual’s council tax liability. It is important to point out that council tax reduction is not a benefit and is not administered by Social Security Scotland, which is what the social security chamber deals with. Rather, council tax reduction reduces applicants’ liability for council tax. It was a policy decision that all appeals relating to council tax, including council tax reduction, should be heard by the local taxation chamber, as they are issues that relate to local taxation.

In drawing up the regulations, Government officials were mindful of the complexities around council tax reduction and about the people who may be bringing cases to the local taxation chamber. The officials may want to elaborate a little bit on that.

Thank you, convener, and good morning, members.

This suite of three sets of regulations will transfer all the functions of the valuation appeals committee and certain functions of the Lands Tribunal for Scotland to the Scottish tribunals, and will set out the composition of those tribunals when they are exercising the transferred functions.

The Tribunals (Scotland) Act 2014 created a new simplified statutory framework for tribunals in Scotland by establishing the Scottish tribunals, consisting of the First-tier Tribunal for Scotland and the Upper Tribunal for Scotland. That framework brings the range of existing tribunal jurisdictions together into one system and provides a structure for new jurisdictions coming in.

The valuation appeals committee and some limited functions of the Lands Tribunal for Scotland are due to be transferred to the Scottish tribunals on 1 April 2023. The draft First-tier Tribunal for Scotland (Transfer of Functions of Valuation Appeals Committees) Regulations 2023 provide for the transfer of the existing functions of the valuation appeals committees to the First-tier Tribunal for Scotland local taxation chamber. Existing members of the valuation appeals committees will not transfer to the Scottish tribunals; instead, members have been appointed through a fair and open recruitment process that was undertaken by the Judicial Appointments Board for Scotland.

In addition, the regulations make provision for cases that are in progress on the date of transfer, and they make amendments to primary and secondary legislation that are necessary as a consequence of the transfer of the functions.

The second instrument is the draft Upper Tribunal for Scotland (Transfer of Valuation for Rating Appeal Functions of the Lands Tribunal for Scotland) Regulations 2023. Currently, appeals in relation to non-domestic rates cases can, in certain circumstances, be referred from a valuation appeals committee to the Lands Tribunal for Scotland. Such circumstances have included cases in which the facts were particularly complex, the law was particularly difficult to apply or the property in relation to the valuation that was being appealed straddled two valuation areas. A decision by a valuation appeals committee not to refer a case to the Lands Tribunal for Scotland can also be appealed to the Lands Tribunal for Scotland.

Upon transfer of those matters to the Scottish tribunals, a referral system similar to the current one will be retained, but with qualifying cases being referred to the Upper Tribunal. That will ensure that complex or significant cases can be considered by a body with additional expertise and that the matters are dealt with entirely within the Scottish tribunals system. Parties will also be able to pursue an appeal to the Upper Tribunal if they disagree with a decision of the First-tier Tribunal not to refer such a case.

Finally, the draft First-tier Tribunal for Scotland Local Taxation Chamber and Upper Tribunal for Scotland (Composition) Regulations 2023 specify the number and types of members—for example, judicial, legal or ordinary—of the local taxation chamber of the First-tier Tribunal who are required in relation to the different appeals before that body. Likewise, the regulations set out the membership of the Upper Tribunal when it considers appeals or referrals from the First-tier Tribunal. I understand that the Delegated Powers and Law Reform Committee considered the regulations on 20 December 2022 and raised no points on them.

The functions of another body, the Council Tax Reduction Review Panel, are also due to be transferred to the First-tier Tribunal, to take effect at the same time. That transfer is provided for in a separate set of regulations, which I know will be considered by the committee at a later meeting.

I would be happy to answer any questions, and my officials are also here to help.