Scottish Pubs Code Adjudicator - levy setting arrangements 2026-2027: statement

Statement on the levy under the Tied Pubs (Scotland) Act 2021

Statutory basis and purpose of the levy

This statement sets out the levy for the 2026–27 financial year and the basis on which it has been determined.

The Tied Pubs (Scotland) Act 2021 provides the Scottish Pubs Code Adjudicator (“SPCA”) with the authority to impose an annual levy on pub‑owning businesses operating in the tied pubs sector.

As the Scottish Pubs Code Adjudicator (SPCA), my role is to oversee compliance with the Scottish Pubs Code and to promote fair, lawful and transparent relationships between tied pub tenants and pub‑owning businesses. The levy provides the funding necessary for the Adjudicator to carry out statutory duties, including monitoring compliance, resolving disputes, enforcing the Code, and supporting transparency across the sector. This ensures that tied pub tenants are protected and that the regulatory framework operates effectively and independently.

Levy structure and payment requirements 

The levy for the forthcoming financial year will take effect from 1 April 2026.

To ensure proportionality, the levy continues to be allocated according to the number of tied pubs operated by each pub‑owning business. This approach results in contributions ranging from under 1% for the smallest operators to around 34% for the largest, reflecting the differing scale of businesses within scope.

Levy payments must be made in full by the deadline specified in the formal charging notice issued to each pub‑owning business. For the 2026–27 financial year, payments will be made in a single instalment, and the previous two‑instalment option will no longer apply. Timely payment supports the effective operation of the Scottish Pubs Code. Any business experiencing difficulty is encouraged to contact the SPCA at the earliest opportunity.

Outstanding and unpaid levy

Any levy amounts that remain unpaid from previous financial years, or that become overdue in 2026–27, continue to be due in full. The SPCA will take steps to recover these outstanding sums separately from the levy for that year. Recovery of unpaid levy ensures fairness across all pub‑owning businesses and supports the effective operation of the Scottish Pubs Code.

Where levy payments remain outstanding, the SPCA may take account of the costs incurred in recovering unpaid levies when setting the levy for the following financial year. These costs may be reflected in the levy as it applies to all pub‑owning businesses, or only in a particular levy rate set for an individual business or businesses. The SPCA may, therefore, set a higher rate for the levy in any financial year to reflect the expense of dealing with recovery of the levy from a defaulting payee.

Transparency and review 

The levy‑setting process is reviewed periodically to ensure it remains fair, proportionate and aligned with the needs of the sector. Any changes or updates will be communicated to all stakeholders.