Its 120 acres (52 hectares) was granted to a Scottish convict, Andrew Thompson, on 1 January 1810, as a reward for his flood rescue work on the Hawkesbury River. It is very likely that Thompson changed the island's name to Scotland Island in memory of his homeland.

Scotland Island, located in Pittwater, New South Wales, Australia, was named after the birthplace of its first European owner, Andrew Thompson. Thompson was a convict who was transported to Australia from Scotland in the late 18th century. After earning his freedom and becoming a successful businessman and magistrate, he was granted the island in 1806. He named it "Scotland Island" as a tribute to his homeland. Thompson used the island for various purposes, including salt works and boat building. Interestingly, before Thompson's ownership, the island was known to the local Guringai Aboriginal people, who are the traditional custodians of the land. Today, it is a unique residential island with no road access to the mainland, meaning the roughly 1,000 residents rely entirely on private boats or the local ferry service to commute, maintaining the secluded and historic charm that Thompson originally established over two centuries ago.