Legal Matters Scotland
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8th August 2025

A free early morning round up of news for legal professionals across Scotland.
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MODERN SLAVERY
Record rise in modern slavery victims
The number of potential victims of modern slavery referred to the Home Office has reached a record high. In the quarter from April to June 2025, 5,690 individuals were referred, marking a 32% increase from the same period last year. UK nationals comprised 23% of referrals, the highest number since the National Referral Mechanism began in 2009. It was also shown that almost three-quarters of all referrals (74%) were male. Anti-Slavery Commissioner Eleanor Lyons said the figures "show that a record number of victims of modern slavery are being exploited." She added: "Shockingly, a record number of young boys are being exploited and more UK nationals are victims of modern slavery than ever before." The Government aims to address a backlog of cases awaiting decisions by December 2026, with it shown that 11,547 cases had been issued a positive initial decision, but were awaiting a final conclusive grounds decision.


 
INDUSTRY
Law firms tighten hiring scrutiny
Law firms are increasingly scrutinising lateral hires due to heightened competition and reputational risks, City AM's Maria Ward-Brennan says. In 2024, 546 partner moves were recorded, according to Edwards Gibson's annual report, with the number increasing annually since 2022. US firms in London are driving this trend with attractive pay packages. Nick Woolf, partner at Woolf & Partners, emphasised the need for thorough due diligence, saying: "Proper due diligence is no longer optional, it's survival." Concerns about workplace culture and past misconduct have prompted firms to seek deeper insights into candidates' backgrounds.



 
CASES
Booking.com faces class action
Booking.com is facing a class-action lawsuit from over 10,000 European hotels, alleging the platform distorted the market with its 'best price' clauses. The Association of Hotels, Restaurants and Cafes in Europe leads the legal action, which has garnered support from 30 national hotel associations. The lawsuit seeks damages for the period from 2004 to 2024, following a European Court of Justice ruling that found Booking.com's practices violated EU competition law.
Apple accused of tech theft
Fintiv has sued Apple, alleging that the tech giant stole its technology to develop Apple Pay. The complaint claims that Apple used trade secrets from CorFire, which Fintiv acquired in 2014, to launch its mobile wallet service. The lawsuit seeks compensatory and punitive damages for violations of trade secrets and anti-racketeering laws.
CORPORATE
Employee ownership boosts Scottish firms' performance
Scottish companies transitioning to employee ownership are experiencing significant performance improvements. Hundreds of firms have shifted majority shares to staff, enhancing security and continuity. United Auctions, which has adopted this model, aims for business longevity. James Slight of RP Slight and Sons noted: "In the time since the change was implemented, the business has undergone a noticeable gear change." The number of employee-owned businesses in Scotland is growing, with nearly 300 reported in September, up from 195 in 2022.

Denovo introduce LawY in CaseLoad: Your Trusted AI Legal Research Assistant

Leading Scottish software provider, Denovo, are launching a powerful new AI legal research assistant now fully integrated into their CaseLoad case management system, at no extra cost to users. LawY is built exclusively for Scottish law firms to deliver fast, reliable answers to complex legal questions. You can request case summaries, access jurisdiction-specific insights, and get linked citations - all without leaving CaseLoad. Optional verification by experienced Scottish solicitors adds an extra layer of confidence.

You can join Denovo on Thursday, 14th August at 13:30 for a live webinar with LawY UK CEO Peter Baverstock, Denovo MD Steven Hill, and family lawyer Holly Hickman. You'll see LawY in action, explore practical examples, and learn how it can transform your legal research.

Register here

 
REGULATION
FOS complaints fall
Complaints to the Financial Ombudsman Service (FOS) fell to their lowest in more than a year in the April to June quarter. Figures show that the FOS received 68,000 new cases in the period, with this down from 74,600 complaints seen a year ago. Complaints about motor finance were the most common grievance but the total dropped to 21,500 cases from 36,000. Complaints regarding fraud and scams fell to 6,800 from 8,800. The data covers a period that saw a series of FOS reforms that introduced tighter restrictions on complaints from professional representatives. As of April, banks are not charged for the first three complaints they receive in the financial year. A case fee of £650 is applied to subsequent complaints, with this reduced to £475 if a complaint is dismissed, withdrawn, abandoned, or found to be outside the FOS’s jurisdiction. The figures show that 30,800 cases were brought by professional representatives in the first quarter of the 2025/26 financial year, compared to 36,600 in the same period last year.
HOUSING
New funding announced to tackle dangerous cladding
Housing Secretary Màiri McAllan has announced an additional £20m of funding to support the removal of dangerous cladding from buildings in Scotland. The new funding includes an extra £10m for the single open call fund, which allows property owners and residents to request an assessment to determine what work is needed on a building, and a further £10m for a new fund to support owners, including social landlords, to prioritise mitigations for buildings where the highest risk has been assessed.
CRIME
Violent crime by children surges in Scotland
The Scottish Crime and Justice Survey (SCJS) reveals that violent crimes committed by children accounted for a third of all incidents last year. Attacks by under-16s in workplaces, particularly against educators, accounted for 23% of all violent crimes, up  from 5% in previous years. Mike Corbett, National Official of the NASUWT, stated: "These figures capture some of the issues facing teachers in Scotland's schools." Calls for urgent action from the Scottish Government have intensified, with unions warning of potential industrial action if measures are not implemented to address the rising violence in schools.
PRISONS
Barlinnie officers save inmate's life
Four prison officers at Barlinnie saved an inmate's life after he attempted suicide by cutting his throat. Stewart Anderson, Daniel Broadley, George Dickens, and Stephen Fyfe responded to the emergency, entering a blood-soaked cell despite the risk. They restrained the inmate and applied pressure to his wounds. Angela Constance, Cabinet Secretary for Justice and Home Affairs, awarded them Meritorious Conduct Awards for their bravery.
INTERNATIONAL
Federal court filing system breached in cyber hack
The US federal judiciary's electronic case filing system has been compromised in a sweeping cyber hack that is understood to have exposed sensitive court data in several states. The Administrative Office of the US Courts, which manages the federal court filing system, and the Justice Department are still trying to determine the full extent of the incident. 
ECONOMY
BoE cuts interest rates to 4%
The Bank of England has cut interest rates to 4%, with the cut from 4.25% marking the fifth reduction since August 2024. Bank Governor Andrew Bailey said that while interest rates "are still on a downward path … any future rate cuts will need to be made gradually and carefully." The Bank expects inflation – which rose to 3.6% in June - to peak at 4% in September, with this an increase on the 3.8% it predicted in May and double its 2% target. Mr Bailey told the BBC that while he did not expect higher inflation to persist, "we have to watch this very carefully." The Bank's nine-member Monetary Policy Committee (MPC) was split on the decision to cut rates, with four backing the 0.25% cut, four voting to hold the base rate and one - Alan Taylor - calling for a steeper reduction of 0.5%. This led to a second vote, with Mr Taylor then backing the move to 4%. Chancellor Rachel Reeves said the lower rate was "welcome news, helping bring down the cost of mortgages and loans for families and businesses." 
 


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