Community Wealth Building (Scotland) Bill Briefing on Stage 2

This briefing builds on previous Community Land Scotland (CLS) briefings that set out our views on the Community Wealth Building (Scotland) Bill. It addresses the amendments being considered by the Economy and Fair Work Committee during the stage 2 process, beginning on 14th January.

We welcome the introduction of the Community Wealth Building Bill, and the principle of Community Wealth Building (CWB) in Scotland as means of furthering community ownership, building resilient local wellbeing economies and supporting a just transition to Net Zero.  

We view the concept of CWB and its application in law as fundamental to transitioning to a wellbeing economy delivering sustainable economic, social and environmental development that enhances the prosperity of all of Scotland’s people and places on an equitable basis.  CWB must be at the heart of tackling the climate and biodiversity crises in ways that enable communities to benefit from the wealth associated with land and other assets, rather than such wealth being extracted from the places where they live, to little or no community benefit.      

CWB needs to be done by communities for communities.  That is not to dismiss the crucial multi-faceted role that local authorities and other public bodies have in delivering CWB. However, we strongly contends that a major part of that role must be for local authorities and other public bodies to act as supportive enablers for communities to generate and retain community ‘wealth’ from the bottom-up, both for their benefit and the wider public good.  

We welcome the introduction of a statutory framework to advance CWB, without which there is a risk that it is seen as optional or discretionary. As noted by the Committee, embedding principles within legislation will ensure that CWB creates an ‘obligation to act’ within Scottish Government and the wider public sector. 

However, for CWB outcomes to be achieved, this obligation must extend beyond the public sector. The Bill as currently drafted, does not sufficiently draw in the private sector or fully reflect the important role that community organisations already play. Mechanisms and intentions are needed to draw the private sector into CWB practices as private interests will be a key driver of achieving CWB aims. Without this, there is a risk of ongoing economic leakage, with wealth continuing to be extracted from local areas. 

Focusing exclusively on the public sector also risks creating a ‘top-down’ CWB agenda which overlooks and fails to build upon the significant grassroots CWB practice already happening across Scotland. Scotland has a unique and resilient existing model of CWB in community ownership. This secures local democratic control of building and assets, prevents economic leakage through an ‘asset lock’ and ensures that wealth generated in local areas is circulated and multiplied within those same areas.

You can read our briefing in full below which addresses the amendments being considered by the Economy and Fair Work Committee during the stage 2 process, beginning on 14th January, with focus on the amendments that seek to address the issues we have raised previously.