Law reform update

The Queen’s speech on 25 May was the first of the new coalition Government and outlined the Government’s priorities for the coming parliamentary year, following the state opening of Parliament. The coalition programme for government can be found on the Cabinet Office website at www.cabinetoffice. gov.uk/media/409088/pfg_coalition.pdf

The main focus of the Queen’s speech was reducing the deficit and continuing to ensure economic recovery. The Queen outlined 24 bills, 11 of which will have a significant importance for Scotland. The bills marked with an asterisk will be of particular interest to the Society.

Welfare Reform Bill

This bill will simplify the benefits system in order to improve work incentives. It would change the system of benefits to make the process less complex and reduce the scope for fraud and error.

Pensions and Savings Bill*

The purpose of the bill is to implement the findings of the review of the current timetable for increasing the state pension age, if the review finds that the existing timetable is no longer appropriate.

The bill will help ensure the future affordability of the state pension, including the restoration of the link between earnings and the basic state pension.

Financial Services Regulation Bill

This bill would give the Bank of England control of macro-prudential regulation and oversight of micro-prudential regulation. The bill would ensure that aggregate risk and imbalances in the economy are properly monitored and managed, thereby helping maintain financial stability.

Postal Services Bill

The bill would seek to tackle the fundamental and longstanding problems facing Royal Mail. The bill would enable an injection of private capital, along with other measures, to help Royal Mail and ensure the provision of the universal postal service. It would safeguard the future of the Royal Mail and the post office network, as well as give employees a secure future and consumers and businesses a service they can continue to depend on.

Freedom (Great Repeal) Bill*

This bill would allow for providing greater accountability of the state to citizens, protecting privacy by introducing new legislation to regulate the use of CCTV, and ensuring that storage of internet and email records is only done when there is good reason to do so. It would also introduce new legislation to restrict the scope of the DNA database and to give added protection to innocent people whose samples have been stored. This model would be based on the existing Scottish model.

Identity Documents Bill*

This bill will cancel identity cards and remove the National Identity Register which contains personal data collected to issue cards. The principle of the bill is that Government should hold the minimum of information about its citizens. The bill will aim to save the taxpayer around £86 million over the next four years once all cancellation costs are taken into account. It will also avoid more than £800 million of ongoing costs over the next 10 years which were to be recovered through fees.

Scotland Bill*

The bill would implement recommendations of the Final Report of the Commission on Scottish Devolution (the Calman Commission). It will increase the financial accountability of the Scottish Parliament, review the policy responsibility split between the UK and Scottish Parliaments, and take steps to improve the relationship between the UK Government and Scottish Ministers.

Terrorist Asset Freezing Bill*

Following a Supreme Court decision earlier this year quashing secondary legislation used to implement terrorist asset freezes, Parliament passed temporary legislation to maintain the UK’s terrorist asset freezing regime. This legislation expires on 31 December 2010. This bill would put the UK’s terrorist asset freezing regime on a secure legislative footing. It will ensure that the UK will focus on national security and meet United Nations obligations, and will take proper account of civil liberties.

The Society has prepared a response to the current HM Treasury consultation on the draft Terrorist Asset Freezing Bill.

The Law Reform Department will continue to work with its committees over the next year to comment on and provide input to these bills as and when appropriate.

• The Society’s Tax Law Committee has submitted a document to the new Government setting out areas it believes the Government should focus on in relation to the UK tax system, including areas of particular relevance to Scotland. The main issues outlined are the need for simplification, clarity and proportionality in the tax system and the penalty regimes, as well as greater stability. The Society supports the establishment of a tax commission or permanent advisory body which could consider a clearer timetable for the Budget and Finance Bill process and also look at reducing the current volume of tax legislation. The document is available on the law reform section of the Society’s website.