Building Safety Levy Expert Advisory Group minutes: January 2026

Attendees and apologies

An exact attendance list is not available for this meeting. An updated list of Group members can be found on the Building Safety Levy Expert Advisory Group webpage.

Items and actions

Transparency and publication of minutes 

• members requested that the minutes from the meeting of 4 November 2025 and the current meeting be circulated and uploaded to the webpages as soon as possible to support transparency 

Scottish Government (SG) officials: 

• clarified that previous minutes had not been circulated and published due to staff absence 

• committed to circulating all outstanding minutes after the meeting and to ensure that SG’s website was updated promptly thereafter 

Levy Free Allowance (LFA) – threshold and consultation 

• concerns were raised that the specific figure of 19 had not been consulted on and therefore could not be tested with stakeholders. Members queried where and when the figure of 19 for the Levy Free Allowance originated, if it would be consulted upon, and whether it would be set out in regulations or in primary legislation 

• members requested anonymised data to better understand the potential impacts 

• questions were raised as to whether the LFA threshold would be set on the face of the Bill or in regulations, with members strongly favouring the use of primary legislation vs regulations 

• during discussion on the Levy Free Allowance (LFA), Homes for Scotland expressed the view that setting the threshold on the face of the Bill would provide simplicity for end users and taxpayers 

SG officials: 

• clarified that: the LFA figure reflected drafting conventions (i.e. “below 20” equating to 19 or fewer or 20 or more); analysis had been shared with the Expert Advisory Group (EAG) in 2025; consultation may apply to regulations relating to the LFA; and that the intention was for the LFA to be set in regulations, most likely alongside rates 

• committed to explore with the data owner if the data can be shared beyond the license under which SG acquired it 

• noted that detail of the underpinning analysis would be set out in the updated Business and Regulatory Impact Assessment (BRIA) which the SG has committed to publishing alongside its rates publication in June 2026 

• noted that the LFA provisions would be explained in Revenue Scotland guidance 

Cash flow, phasing and developer impacts 

• cash-flow concerns linked to levy rates were raised. It was noted that Build-to-Rent developments may only benefit from one year of LFA due to selling in one tranche, unlike phased developments 

• the possibility of carry-forward provisions for the LFA, particularly for Small- and Medium-sized Enterprises (SMEs), allowing unused allowance to be accumulated, was raised 

• members suggested that the time between legislation being finalised and implementation would be shorter than in England 

• questions were raised on whether reporting requirements would be strengthened through amendments 

SG officials: 

• committed to further engagement with the Scottish Property Federation on specific issue of cash flow for Build-to-Rent and Purpose-Built Student Accommodation developments 

• clarified that the indicative rate publication in June 2026 provided around 22 months advance notice of the commencement of the Levy, with regulations following as soon as practicable thereafter 

• reiterated the Minister’s commitment to strengthening the reporting requirements in the Bill and committed to circulating the Government amendments to the Bill when they are published (expected Monday 4 February) 

Post meeting clarification by SG officials: 

• following the meeting SG officials clarified that the regulations in England were agreed in October 2025, one year before the intended implementation of the UKG Levy  

Taxable event and implementation 

• concerns were raised around the taxable event, emphasis of the need for transitional provisions, and that the proposed approach would be counter to the usual building warrant process where applications are not typically affected by subsequent regulatory changes 

SG officials: 

• noted that the decision to delay the commencement of the Levy from April 2027 to April 2028 and publish indicative rates in June 2026 is intended to provide sufficient advance certainty for developers and has therefore been provided in lieu of transitional provisions 

• clarified that Ministers have not indicated an intention to revisit the interlinked matters of commencement of the Levy and transitional provisions 

Other updates and analysis 

• an update on the Cladding Remediation Programme was provided by SG officials

• members asked whether sensitivity analysis was expected in June and whether it would be independent 

SG officials: 

• confirmed the intention to update the BRIA to include additional analysis, with work underway internally; and 

• committed to returning to the group in May or June 2026 to update on methodology and findings 

Actions 

Action: Circulate minutes from 4 November 2025 and 28 January meeting and arrange publication on SG webpage 

• Owner: Scottish Government officials 

• Notes: To support transparency 

Action: Explore legal position on sharing data relating to the LFA 

• Owner: Scottish Government officials 

• Notes: Registers of Scotland to advise as data licensed to SG 

Action: Confirm statutory basis for setting the LFA 

• Owner: Scottish Government officials 

Action: Circulate Government amendments once published 

• Owner: Scottish Government officials  

• Notes: By Tuesday 05 February  

Action: Return to EAG with updated BRIA methodology and sensitivity analysis 

• Owner: Scottish Government officials  

• Notes: Ahead of indicative rate publication