Commission revises proposed Trusts (Scotland) Bill

The Scottish Law Commission has published a revised version of the Trusts (Scotland) Bill, which seeks to update and modernise the current law.

The revised version further develops the draft bill which was published in the Commission's report in 2014. The bill seeks to modernise trust law in Scotland. The current legislation dates back to 1921 and the Commission's report notes that there are powerful reasons for reform as the current legislation is seen to be “archaic” and “difficult to work with”.

Accordingly Lord Pentland, then chairman of the Commission, said: “The recommendations in our report and our revised Trusts (Scotland) Bill are designed to bring the Scots law of trusts into the modern era. This is for the benefit of all citizens in their family and private lives as well as in their commercial enterprises”.

The main amendment to the draft bill provides for the consequences of repealing the Trusts (Scotland) Act 1921. The explanatory note sets out that “although it contains the usual power to make ancillary provision, including consequential provision, by subordinate legislation, there is an obvious need to provide expressly for the consequences of repealing the Trusts (Scotland) Act 1921. This revisal largely completes the Commission's review”.

The proposed bill is due to be brought before the Scottish Parliament for consideration. However, it may be some time before the bill is considered due to the current busy parliamentary timetable.