Businesses will be able to borrow more easily against assets such
as whisky stores and machinery under legal reforms passed by the
Scottish Parliament.
The Moveable Transactions (Scotland) Bill, which aims to make it
easier for businesses to raise finance, will also enable them to
borrow against intellectual property such as trademarks and
patents, as well as making various kinds of commercial
transactions more efficient and less expensive.
Public Finance Minister toured Glenkinchie Distillery
ahead of the final debate and vote. He said:
“This is a significant step forward in modernising the law, and
I’m pleased that MSPs have agreed to reform the old rules and
bring borrowing practices in Scotland in line with other
countries.
“Businesses will now be able to borrow more easily
against assets they own such as machinery and intellectual
property rights by raising finance against them.
“These changes will make processes easier and cheaper as it is
hoped lenders will be more likely to charge lower interest rates
given that they will be lending against secured assets.
“Better access to finance will support innovation, and by
improving the current inefficient and expensive methods of
raising finance, the Scottish Government is helping drive forward
Scotland’s economic recovery in line with our National Strategy
for Economic Transformation.”
Background
The Moveable Transactions
(Scotland) Bill will implement the recommendations of
the Scottish Law Commission Report on Moveable
Transactions.
Moveable assets covered by the Bill include machinery, vehicles
and goods such as whisky stores as well as intellectual property
like trademarks or patents.
The aims of the Bill will bring benefits to all Scottish
businesses, no matter their size or profile.
The Minister's opening
statement during the final vote on the Bill is available
on the Scottish Government's website.
