What action it is taking to encourage local authorities to make greater use of their existing powers under the Community Empowerment (Scotl…

Part 11 of the Community Empowerment (Scotland) Act 2015 amends Section 3A of the Local Government (Financial Provisions etc.) (Scotland) Act 1962 to allow local authorities to create local non-domestic rates relief schemes to reflect local need. It is entirely at the discretion of individual local authorities as to whether they use these powers to offer such relief taking into account affordability and the interests of the local community, and it would be contrary to the intention of the legislation for Ministers to encourage them to do so.Local authorities can for example use the powers to offer a local relief in full or in part for empty properties following the devolution of Empty Property Relief on 1 April 2023 utilising the £105 million per year funding transfer that accompanied the devolution. These powers are also used to deliver Green Freeports non-domestic rates relief to properties within Green Freeport tax sites, where the property meets the eligibility criteria set out in the non-statutory guidance published in May 2024; and non-domestic rates relief in specified tax sites within Investment Zones in line with the eligibility criteria set out in the non-statutory guidance published in July 2026.The Scottish Government provides annual guidance for local authorities on all non-domestic rates reliefs with information for each non-domestic rates relief, including local discretionary relief. This guidance is published on the Scottish Government website at: Local government finance circular 7/2026: non-domestic rates relief guidance.