Legal Matters Scotland
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17th July 2025

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CASES
Nurse cleared in tribunal drama
Sandie Peggie, a nurse with NHS Fife, has been cleared of all internal disciplinary charges following her suspension for objecting to Dr Beth Upton, a transgender woman, using a female changing room. Peggie claimed her treatment constituted harassment and discrimination, leading her to bring a tribunal against the health board and Upton. After a year and a half, the internal disciplinary process against her was dropped, with her solicitor, Margaret Gribbon, stating that Peggie was "relieved and delighted." A spokesman for NHS Fife confirmed that there was "insufficient evidence to support a finding of misconduct."
NHS Forth Valley faces court action
NHS Forth Valley has been issued an "action plan" by the Scottish Information Commissioner, David Hamilton, to address ongoing issues with Freedom of Information (FOI) request compliance. Hamilton's intervention began in November 2023 after the health board reported a failure to respond to 51% of requests within the required 20-day timeframe. Despite previous meetings and extensions, Hamilton "remains concerned" about the lack of progress and has demanded that NHS Forth Valley respond to over 90% of requests within the stipulated time by year-end. He warned that failure to improve could lead to enforcement action, including a referral to the Court of Session for contempt. NHS Forth Valley acknowledged its performance issues and is working on a detailed action plan to enhance response times.


 
THE LAW
Urgent reform needed for FoI law
Carole Ewart, director of the Campaign for Freedom of Information in Scotland, argues that the next nine months present a vital chance to reform Scotland’s outdated Freedom of Information (FoI) law. A new bill, introduced by MSP Katy Clark, seeks to close legal loopholes, expand coverage to contracted service providers, and strengthen enforcement powers. Despite overwhelming public support, including 97% backing access to information, Ewart warns that the bill faces political hurdles and urges public engagement to ensure it passes before March 2026.



 
INDUSTRY
New solicitor advocates take the stage
The Law Society of Scotland has officially granted extended rights of audience to five new solicitor advocates during a ceremony at the Court of Session. Law Society president Patricia Thom welcomed Lord Richardson to administer the declaration of allegiance. The newly appointed advocates, including Helen McHugh from Stirling Council and Stuart Munro from Livingstone Brown, can now represent clients in the Court of Session, the Supreme Court, and the Judicial Committee of the Privy Council.
EMPLOYMENT
Tesco returns to court over unequal pay claims
Tesco is currently appealing a legal decision regarding allegations of unequal pay, with the case involving around 49,000 employees and potentially worth £4bn. The lawsuit, initiated in 2018 by law firms Harcus Parker and Leigh Day, claims that female store workers are underpaid compared to their male counterparts in distribution centres. The Employment Tribunal has allowed the case to proceed, with a final hearing scheduled for 1 September 2025. Tesco's attempts to introduce expert economic evidence were rejected, leading to its appeal to the Employment Appeal Tribunal, which upheld the original ruling. The case follows a similar ruling against Next, which could result in over £30m in compensation.
CORPORATE
Scottish dealmaking gains momentum in 2025
Scottish dealmaking is experiencing significant momentum in 2025, with companies raising £211m across 99 funding rounds from January to May, marking a 108% increase in value compared to the previous quarter. Paul Scullion, head of corporate finance at Burness Paull, noted: "Deal activity has gained momentum, helped by the Spring Budget, which accelerated decision-making after a slower period." Key sectors such as artificial intelligence (AI), software as a service (SaaS), and cyber security are witnessing price spikes, driven by demand for scalable platforms. As new EU regulations emerge, fintech companies must adapt to maintain access to the market. Callum Sinclair, head of technology and commercial at Burness Paull, emphasised the dual nature of quantum computing as both a risk and an opportunity for security technology innovation.
Ferguson Marine could struggle without direct contract award for new ferry
Graeme Thomson, the new CEO of Ferguson Marine, has told the Westminster Scottish Affairs Committee that he would "support a direct award" of a contract to build a replacement for the 36-year-old MV Lord of the Isles, saying that if the shipyard does not win the contract for the vessel "it would be very difficult for us, it would be very challenging". The Scottish Government has been reticent to directly award work to Ferguson Marine, with Deputy First Minister Kate Forbes citing legal advice warning of "substantial risks and uncertainties", including the threat of legal action under UK state aid regulations.
FIRMS
Brodies embraces AI for legal growth
Stephen Goldie, managing partner of Brodies, has expressed the firm's commitment to leveraging AI technologies to enhance legal services. He stated: "The rise of generative AI is an opportunity for the legal sector," emphasising the potential for AI to allow lawyers to focus more on client interactions. Brodies has reported an 11% increase in turnover to £126.7m for the year ending April 30, marking its 15th consecutive year of growth. The firm has successfully navigated a challenging market, with notable corporate deals, including advising Parkmead Group on its sale of UK oil assets. Goldie noted a growing appetite for corporate deal-making in Scotland, particularly in energy, technology, and business services sectors, as market conditions stabilise.
Legal experts launch Peak Cluster JV
Burges Salmon has facilitated the establishment of a joint venture (JV) for Peak Cluster, a carbon capture initiative aimed at ensuring a sustainable future for 40% of the UK's cement and lime industry. The JV includes major industry players such as Breedon, Tarmac, Holcim, and SigmaRoc, alongside Progressive Energy and Summit Energy Evolution, focusing on industrial decarbonisation. The project has successfully raised £59.6m in equity, with a significant £28.6m investment from the National Wealth Fund to develop a carbon dioxide transportation pipeline. Danny Lee from Burges Salmon said: "We are proud to have played a role in the creation of the Peak Cluster JV, a flagship project that aims to secure a decarbonised future for 40% of the UK's cement and lime industry."
DATA PRIVACY
Taxpayers face £1bn Afghan data bill
Taxpayers could face a £1bn bill due to a catastrophic data leak involving 100,000 Afghans who applied for UK sanctuary. Legal firms are rapidly signing up claimants, with each potentially receiving up to £250,000 in compensation. Adnan Malik, head of data protection at Barings Law, stated: "This is about more than just money. It is about accountability." The Ministry of Defence is preparing to contest these claims vigorously. The leak, described by Commons Defence Committee chairman Tan Dhesi MP as "one of the most costly email blunders in history," has opened the floodgates for legal challenges, with the government under pressure to explain its handling of the situation.
DEVOLUTION
Westminster and Holyrood must deliver devolution for Glasgow
Cllr Susan Aitken, the leader of Glasgow City Council, has called on the UK and Scottish Governments to move forward with devolution for the Glasgow City Region. While "partnerships between the eight member councils, businesses, and academia are helping ensure Glasgow actually outperforms those UK city regions we're regularly compared to", she said, as "chair of the cross-party Glasgow City Region Cabinet, I've always been clear that to take our ambitions to the next level we need more powers and more resources". While the UK Government has argued that it should have no role in a devolution deal similar to those awarded to a number of English regions, she says, "devolving powers without the accompanying funding to match would be almost meaningless". With English devolution deals having not generated Barnett consequentials, she says, "no equivalent funding has ever been provided to the Scottish Government", meaning it is "clear then that the funding for a devolution deal for the Glasgow City Region remains the responsibility of the UK Government".
BREXIT
Labour's EU alignment skyrockets
According to the report by UK in a Changing Europe, Labour has significantly increased Britain’s alignment with the EU, moving from four to 21 policy areas in just six months. The shift includes key areas such as defence, security, energy, and competition policy. Joël Reland, the report's author, said: "There is no longer a political imperative to demonstrate UK divergence from the EU," highlighting a new partnership approach. Labour's commitment to closer EU relations aims to facilitate trade, although critics argue it undermines Brexit benefits. The report also notes that the UK and EU now compete in only a few areas, such as financial services and AI regulation.
Internal market act sparks controversy
In 2020, Ian Murray, Labour's Scottish Secretary, described the Internal Market Act as "damaging" and detrimental to devolution, even voting against it. However, he now supports the act, leading to accusations of hypocrisy. The act, designed to establish a single market post-Brexit, has allowed UK ministers to override the Scottish Parliament, notably impacting the Deposit Return Scheme. SNP MP Stephen Gethins has urged Murray to "repeal and replace" the law, stating it undermines the devolution settlement. Despite Holyrood's opposition to the act, UK trade minister Douglas Alexander confirmed that the government is not considering its repeal, focusing instead on potential improvements and exclusions related to economic, environmental, and public health factors.
ECONOMY
UK inflation rises unexpectedly to 3.6%
UK inflation rose unexpectedly to 3.6% in June, up from 3.4%, driven by higher food and fuel prices, according to the Office for National Statistics. Economists had expected no change. Food and drink inflation hit 4.5%, its highest level since February 2024, while weaker year-on-year fuel price declines also contributed. The rise complicates the Bank of England's interest rate strategy, as services inflation remained at 4.7%, led by air fares. Critics argue Chancellor Rachel Reeves’ budget, which included increased employment taxes, may be fuelling inflation and dampening growth.
INTERNATIONAL
Italy plans to release 10,000 inmates
Italy's Justice Ministry has announced plans to release approximately 10,000 inmates, representing about 15% of the prison population, to alleviate severe overcrowding. The ministry stated that 10,105 prisoners are "potentially eligible" for alternatives such as house arrest or probation, provided they meet specific criteria, including having less than two years left on their sentences and no serious disciplinary offences in the past year. Excluded from this initiative are those convicted of serious crimes like terrorism and organised crime. Italy faces one of the highest prison overcrowding rates in Europe, with an occupancy level of around 122%. The ministry has established a taskforce to manage the release process, which will report on its progress by September.
 


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