Humza Yousaf must not prolong the legal battle over Holyrood’s gender reform laws, former SNP leadership candidate Kate Forbes has warned.

The Scottish Government lost a landmark case at the Court of Session on Friday (December 8), after it was ruled the UK Government had acted lawfully in blocking the Gender Recognition Reform (Scotland) Bill with a Section 35 order.

Posting on X, formerly Twitter, Ms Forbes said: “I previously argued that Scot Gov shouldn’t contest S35 unless there was a v high chance of success. A loss for Scot Gov would obvs absorb public funds but could embolden future UK Govs to interfere in devolution, which no party of independence wishes to see.”

Read more: LGBT groups react to 'distressing' gender reform ruling

The Skye, Lochaber and Badenoch MSP said: “Most worrying, it has created a period of great uncertainty and fear for trans people and women and girls, deepening already bitter divisions. All politicians must heal divisions not exacerbate them. That means listening.

“The priority should now be to give security and clarity to trans people & to women & girls. I urge the Gov not to prolong the legal battle further. I have confidence in our citizens and democratic processes to safeguard rights of everybody in a reformed Bill if we listen to all.”

The Herald: Humza Yousaf and Kate Forbes during the SNP leadership raceHumza Yousaf and Kate Forbes during the SNP leadership race (Image: PA)

The legislation, which was passed by MSPs at Holyrood, aims to simplify the process for transgender people to obtain a gender recognition certificate (GRC) and officially change their legally recognised gender.

The legal challenge cost the Scottish Government around £230,000 and ministers now have three weeks to decide whether they want to appeal against the decision at the Supreme Court.

In her ruling, Lady Haldane, who heard two days of evidence in September, said the Scottish Government’s petition “fails”, dismissing arguments from Lord Advocate Dorothy Bain that Scottish Secretary Alister Jack launched the never-before-used power because of a policy disagreement.

Read more: Humza Yousaf loses landmark court case on Holyrood gender reforms

Mr Yousaf said on Friday he would take time to consider the judgment, however his leadership rival has warned that appealing against the decision could “exacerbate” divisions rather than heal them.

Instead, she urged the First Minister to work with MSPs to develop a “reformed” Bill that works for campaigners on both sides of the argument.

During the leadership contest earlier this year, which saw Ms Forbes come a close second to Mr Yousaf, the gender reforms were a significant part of the debate.

The former finance secretary has been a strong critic of the proposals in their current form and she said she would not have voted for the Bill if she had been in parliament instead of on maternity leave during the crucial vote.