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  4. Second Coronavirus (Scotland) Bill published

Second Coronavirus (Scotland) Bill published

11th May 2020 | government-administration | Health

Emergency measures to protect people facing financial hardship and allow public services to operate effectively are among the provisions in the second Coronavirus (Scotland) Bill, now introduced to Holyrood.

The bill proposes an additional £19.2m investment in carer’s allowance supplement, the introduction of notice to leave periods to allow students to end a tenancy of purpose-built student accommodation and halls of residence, and additional protections for those facing bankruptcy.

It would raise from £3,000 to £10,000 the minimum debt level that an individual must owe before a creditor can make them bankrupt, and raise the upper threshold for the availability of the minimal asset process (MAP) from £17,000 to £25,000, enabling more people to avoid a costly and lengthy bankruptcy process. The first Coronavirus (Scotland) Act made provision for a six month moratorium against certain debt enforcement measures to allow people time to think through their options.

Householders who bought a property between 24 September 2018 and 24 March 2020 and have had to pay the additional land and buildings transaction tax as second home owners, will have an additional nine months to sell their previous property and reclaim the additional amount.

There are also extended time periods for the proceeds of crime legislation and miscellaneous further provisions affecting the criminal justice system; and additional powers to ministers to make regulations allowing non-domestic rates relief. There are as yet no new provisions regarding the holding of solemn trials.

Electronic signatures will be permitted for documents requiring to be registered or recorded in the Register of Inhibitions, and certain documents to be given to or by the Keeper in relation to the registration and enforcement of foreign judgments. Electronic service will be permitted of documents under the Bankruptcy (Scotland) Act 2016.

Measures in the bill will be subject to the same reporting and review timescales as the first Coronavirus (Scotland) Act. 

Constitutional Secretary Michael Russell said: “The Scottish Government is determined to do all we can to help individuals and businesses who are facing hardship as a result of this unprecedented crisis.

“The bill will help many people facing bankruptcy, adding to emergency measures which the Scottish Parliament has already approved.

“It will also provide Scottish ministers with the power to introduce reductions in non-domestic rates payable during 2020-21, and a wide range of changes necessary to support public services to continue to operate as they were intended during what are exceptional circumstances.

“Throughout this crisis we have tried to achieve consensus and will continue to work on a cross-party basis to enable the Government to take the steps necessary to help Scotland get through these extraordinary times.” 

Click here to access the bill and related papers.

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