This update highlights areas of legislative change on the horizon for Scottish Real Estate including proposals outlined by the Scottish Government in its Programme for Government for 2026-2031.

Published: 20 October 2026
Authors: Sheelagh Cooley

Planning

In our Autumn Planning update, Steven Stewart and Jemma Hughes focus on:

• a new planning path for data centres in Scotland
• a step forward for compulsory purchase reform
• the responses to the Scottish Government’s consultation on increasing the threshold for applications under the Electricity Act 1989

The update is available here: Scottish planning update: Autumn 2026

New timeline for EPC reforms

Significant changes to the current EPC framework were originally scheduled for 31 October 2026. However, the commencement date has been pushed out to 30 April 2028 in line with the implementation plan agreed by the Scottish Government with the UK Government and the EPC assessor industry.

The new regime, which will apply to both domestic and non-domestic EPCs, will introduce a new EPC register and accreditation scheme for assessors and a new rating system and it will reduce the period for which an EPC remains valid from ten to five years.  What doesn’t change is the requirement for a valid EPC to be provided 1. when a building is advertised for sale or let and when it is subsequently sold/let; and 2. when a new building is constructed.

Transitional arrangements are anticipated: between 30 April 2028 and 30 April 2029, properties being sold or let may use an existing, valid EPC issued under the old 2008 regulations or an EPC issued under the new 2025 regulations. Generally, subsequent sales/lettings of the same property within the grace period will require a new regime EPC. However, the regulations provide some relief for short term lets of residential properties for which an existing old-style EPC can be used more than once until 30 April 2029.

More detail is available here: Energy Performance Certificate Reform: updates - gov.scot

We will be tracking the progress of the regulations required to implement these changes and also looking out for the introduction of the Buildings (Heating and Energy Performance) and Heat Networks (Scotland) Bill in 2026/27 as indicated in the PFG.

Scottish Building Safety Levy (SBSL)

From 1 April 2028, the SBSL will be charged on completion of new residential units in Scotland. There will be no transition period meaning that residential units in progress – but not complete – before the implementation date will be in scope. We discuss the recent consultation on the indicative rates and technical aspects of the levy here: Scottish Building Safety Levy update: indicative rates and technical consultation published.

The equivalent tax for residential developments in England took effect on 1 October 2026. More detail on that levy is available here: Countdown to the new building safety levy

PBSA: Consultation on grounds for students ending their tenancies

The Scottish Government’s long-awaited consultation on the circumstances in which students can exit their PBSA tenancies early, and the process for doing so, runs until 22 October 2026.

Recognising the need to balance the ability for some students to end their tenancies against the consequential impact on providers, the six circumstances proposed are:

• close family bereavement
• health issues requiring a return to the family home/hospitalisation/rehabilitation
• National emergency or incident leading to teaching being stopped
• student is no longer matriculated, e.g. has withdrawn from university/changed to a university in another area/ has been expelled
• serious risk to the health or safety of the student – e.g. they have been subject to gender - based violence, domestic abuse
• revocation of visa.

In terms of process:

• evidence to support the student’s application will usually be required
• the proposed notice period is 28 days (with possible extension up to 20 days to request further evidence/information)
• the consultation asks what a fair process would be for challenging a refusal.

The consultation is available here: Consultation Questions - Purpose-Built Student Accommodation - ending student tenancies: consultation - gov.scot

Steps to speed up housing delivery

Consistent with its aim to deliver 110,000 affordable homes by 2032, the PFG sets out the Scottish Government’s plans to:

• work with local and regional partners to ensure the right mix of housing in the right places
• reform the planning system: to speed up developments and make it easier to get projects to completion
• phase in the new Scottish housing agency, More Homes Scotland, from 1 April 2027. The concepts behind the agency - to bring expertise together centrally and remove barriers to development - are welcome but, we should not expect a fully functional operation on day 1.
• develop a strategic partnership between More Homes Scotland and the Scottish National Investment Bank.

In the meantime, Homes For Scotland have published an interactive map showing, by local authority area, the numbers of new homes started and completed for the latest calendar year:  New home delivery across Scotland - Homes for Scotland

For more detail on the above please contact: Sheelagh Cooley or your usual member of Shoosmiths’ Scottish Real Estate team.