SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 OF

THE SECURITIES EXCHANGE ACT OF 1934

For the month of April, 2007

SCOTTISH POWER PLC

(Translation of Registrant’s Name Into English)

CORPORATE OFFICE, 1 ATLANTIC QUAY, GLASGOW, G2 8SP

(Address of Principal Executive Offices)

(Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.)

Form 20-F X Form 40-F

(Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.)

Yes No X

(If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- .)

FORM 6-K: TABLE OF CONTENTS

1. Notification by Scottish Power plc, dated April 1923, 2007, of ~~Scheme~~Reduction of ~~arrangement~~Capital

         NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN OR INTO OR 
                        FROM AUSTRALIA, CANADA OR JAPAN



                                                                                                                          19                                                                   23 April 2007




SCOTTISH POWER PLC - SANCTIONREDUCTION OF THECAPITAL SCHEMECONFIRMED OF ARRANGEMENT BY THE COURT OF SESSION,  
EDINBURGH,   SCOTLAND AND  ANNOUNCEMENT  OF SPECIAL
DIVIDENDCHANGES PAYMENTTO DATETHE BOARD ANNOUNCED

SanctionReduction of Capital confirmed by the SchemeCourt of ArrangementSession, Edinburgh, Scotland (the
"Court")

The Board of Scottish   Power plc   ("ScottishPower")   announces   that the Court of Session,  Edinburgh,  Scotland  (the  "Court")  today
approvedreduction the  reorganisation  of capital   comprised   within the Scheme of Arrangement  (the "Scheme")Reduction to effect the offer by Iberdrola,of
S.A.  (Capital"Iberdrola") for  ScottishPower.  Thehas Schemebeen andconfirmed its implementation  were approved by  ScottishPower's  shareholders onthe 30Court, March
2007that at the Court MeetingOrder and confirming
the ScottishPowerReduction  EGM.  Followingof suchCapital sanctionand bya thecertified Court,  optionscopy in respect of 4,088,767  ordinary
sharesthe haveminute beenof exercisedthe andReduction suchof
Capital shareshas have been issuedregistered orby transferredthe today.

ToRegistrar effect the  reorganisation  of capital  comprised  withinCompanies and that the Scheme
became andeffective theon electionsregistration underof the MixCourt andOrder.

The Matchlisting Facilityof and the Loan
Note  Alternative,  the ordinary shares heldof byScottishPower on the Scheme  ShareholdersOfficial willList beis
expected reclassifiedto intobe A1cancelled Shareswith ofeffect 42/2,907from pencethe each,commencement A2
Shares of 42/2,907  pencebusiness eachon and24
April A32007.

Cash Sharesconsideration of  42/2,907  pencedue eachunder (the  "Share  Reclassification")  and suchOffer shares will be thendespatched be
cancelledby andcheque New  ScottishPower  Sharesby reissuedIberdrola
(or to Iberdrola (theshall "Shareprocure Capital  Reduction"such despatch).  The Shareor Capitalsettled Reductionthrough willCREST, takeas
effect  following  aappropriate, second  hearing  ofby the7 Court  whichMay is  anticipated  will2007. beSettlement heldof onthe 23cash Aprilconsideration 2007will andalso
include uponcash the  delivery  ofin the
certified  copyrespect of theany Courtfractional Order  sanctioning  theentitlements.

We Sharehave Capital  Reductionbeen (theinformed "Courtby Order")Iberdrola andthat athe certifiedNew copyIberdrola ofShares theare minuteexpected ofto
thebe Reductionissued oflater Capitaltoday, to23 theApril Registrar2007 ofand Companiesadmitted (whichto istrading expectedby tothe takeBolsas placede
Valores bywith effect from 5.0035 p.m. (Madrid time) on 2324 April 2007).

In orderLloyds toTSB
Registrars ensureCorporate anNominee orderly  Share  Reclassification  andLimited Capital  Reduction,  the  register of members of  ScottishPower's  ordinary
shares will beissue closedand withpost effectstatements fromof tonight, 19 April 2007.ownership

Itin isrespect expectedof thatIberdrola theCDIs Financialrepresenting Services  AuthorityNew willIberdrola cancelShares theto listing of  ScottishPower's  ordinary
Shareholders shareswho onheld thetheir Officialshares List
with  effect  from  commencement  of  business  onin 24  April  2007,  andcertificated the  London  Stock  Exchange  will  suspend  the  trading,  of
ScottishPower's  ordinary  sharesform atby 7.30 a.m.May on 20 April 2007.
ScottishPower ItShareholders iswho alsohave expectedany thatquestions theregarding Newtheir Yorkstatement Stock  Exchangeof
ownership willmay suspendcontact the
listingLloyds andTSB theRegistrars tradingCorporate of  ScottishPowerNominee Limited's  ADSs
shareholder effectivesupport fromservice 4.00on p.m.0870 in600 New3999 York(from oninside 23the AprilUK) 2007,or subjecton to+44 the Scheme becoming121
effective.

The415 Offer7075 remains  conditional  upon(from the  confirmationoutside of the ShareUK). Capital  Reduction  comprised  withinForms theenabling SchemeIberdrola byCDI theholders Courtto and atransfer
certified  copytheir ofIberdrola theCDIs Courtout Orderof and the minuteIberdrola ofCorporate theNominee Capital  Reduction  being  deliveredFacility to, and  registered  by, the Registrar ofanother
CompaniesCREST (whichparticipant isare expectedavailable toon takeIberdrola's placewebsite byat 5www.00 piberdrola.mcom. on 23 April 2007).

PaymentChanges ofto Specialthe DividendBoard announced

ScottishPower's  Special  DividendThe Board of 12 pence per  ScottishPower  Share ($0.9659announces per  ScottishPower  ADSthat (basedCharles onMiller anSmith, exchangePhilip rate ofBowman,
£1:US$2.01231))  willSimon beLowth, paidEuan onBaird, 27Donald AprilBrydon, 2007Peter toHickson, those  ScottishPower  ShareholdersNick whoRose areand on ScottishPower's  register of members atNancy
9.00Wilgenbusch a.m.resigned (Londonas time)Directors onof theScottishPower dayupon after the Court sanctions the Scheme,  expected to be 20 April 2007becoming
effective.  ScottishPower  ADS Holders who
are
The onBoard theproposes registerto ofmake ADSa Holders  maintained  by  ScottishPower's  ADS  Depositaryfurther atannouncement 4.00in p.m.due (Newcourse Yorkin time)relation on to
the dayappointment theof Scheme
becomesnew effective,directors expectedand totheir beroles 23on April 2007, will receive the Special DividendBoard.

Expressions used in this announcement have the same meaning as in the Scheme 
Document to ScottishPower  Shareholders  dated 26 February
 2007.



For further information:


Scottish Power plc:
Investor Relations: Peter Durman                                                                              +44 (0) 141 636 4527
Media Relations: Colin McSeveny                                                                                +44 (0) 141 636 4515

Cardew Group. (PR adviser to Scottish Power plc):
Anthony Cardew                                                                                                                  +44 (0) 20 7930 0777
Rupert Pittman                                                                                                                  +44 (0) 20 7930 0777


END

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

		/s/ Scottish Power plc
		(Registrant)
Date: April 19, 2007	By:	/s/ Mrs Sheelagh Duffield
Date: April 23, 2007	By:	/s/ Donald McPherson
		Mrs Sheelagh Duffield
		Donald McPherson
		Company Secretary
		Deputy Company Secretary

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