MSP seizes second chance to bring in plastic bag tax

Published on Thursday 23 December 2010 11:01

A CITY MSP wants to use new powers proposed for the Scottish Parliament to bring in a tax on plastic bags.

Edinburgh South Liberal Democrat Mike Pringle failed in his previous attempt to persuade fellow MSPs to back a 10p per bag levy, based on a similar move in Ireland which saw disposable bag use cut by about 90 per cent. The proposed levy - which was going to see money channelled to "green" projects - would have had to be administered by local councils because of Holyrood's lack of tax powers.

But under the Scotland Bill, based on recommendations from the cross-party Calman commission, the Scottish Parliament will be able to propose new taxes which could be introduced in Scotland.

Mr Pringle said he believed the Bill, expected to be passed later this year, offered an opportunity to revive his scheme. He said: "It's too close to the election to pursue anything now, but if I'm re-elected, this is something I want to look at. My hope is that the new powers under Calman will enable me to proceed in a different way."

He said he still wanted the money to go to environmental projects but not in a way that simply replaced existing funding. He said: "This would be new money going to new projects that would not otherwise happen. I think that's what people would want."

Mr Pringle first proposed his bag levy in 2003, claiming it would reduce waste and help the environment. He eventually withdrew his member's bill in October 2006 after the parliament's environment committee failed to back it.

The committee described the levy as "a potentially powerful tool" in reducing plastic bag use but said it was "very difficult" to judge whether the scheme as proposed could achieve the desired effect. It pointed out Mr Pringle's plan would have meant each of Scotland's 32 local authorities having to set up its own collection system to gather the money from shops.

It added: "Any central collection system could raise questions over whether the charge was really a tax and therefore beyond the powers of the Scottish Parliament."

The Scottish Retail Consortium had branded the scheme an administrative nightmare and claimed it would be both complex and costly, with 32 councils using different systems for imposing and collecting the tax.

It warned: "A national retailer could potentially make tax returns to 32 different local authorities via 32 different systems of payment."

Mr Pringle acknowledges there has been a reduction in plastic bag use through voluntary action by retailers, but be argues a bag tax is still needed. He said: "There are fewer plastic bags being used, but there are still tens of millions."