Grant Seeks Scottish Landfill Tax Exemption Guarantee for Berridale Braes Works

27th January 2015

Highland & Islands MSP, Rhoda Grant is seeking confirmation from the Scottish Government that significant road improvement works planned to take place on the Berriedale Braes in Caithness will be exempted from landfill tax which could skyrocket project costs on the long overdue scheme.

From April 2015, landfill tax collected from landfill operators will go to Revenue Scotland and will become the Scottish Landfill Tax. Currently the UK Landfill Tax is collected by HMRC and is designed to encourage waste produces to produce less and recover as much value as possible from it.

Transport Scotland have said they anticipate "sub-soil and rock surplus may be exempt from the landfill tax as the current indications are that the material could be used for remediation/filling of an old exhausted quarry. However this is based on current knowledge and is subject to the specific arrangement that the successful contractor chooses to make."

Mrs Grant said:"The Berriedale Braes present a major transport infrastructure project that is already has a projected cost of around at least £2.5 million.

“The steep gradient on the section that is planned for improvement means that significant material will have to be excavated and disposed from the site, described by Transport Scotland as a “major part" of this work.

“Although it looks as though the excess material could be used in the project or used elsewhere for filling, I want to see a cast iron commitment from the Scottish Government that there will be no more delays to this project and no contractor will be hit by massive landfill tax charges whilst undertaking and potentially delaying this vital piece of roads infrastructure that Caithness desperately wants and needs completed.”

Rhoda Grant MSP is set to write to the Cabinet Secretary for Infrastructure, Keith Brown MSP and press him to clarify if the Berriedale Braes upgrades will be subject to landfill tax, if any potential tax was included in projected cost implications and what plans if any there is to avoid landfill tax leading to spiralling completion costs.