Financial Update from Morris Cook Chartered Accountants - SEPTEMBER 2016
5th September 2016
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Thousands of British organisations will receive guarantees over EU funding in a new move by Chancellor Philip Hammond last month.

Key projects supporting economic development across the UK will be given the green light, ending uncertainty over their future following the UK’s decision to leave the European Union.

Assurances set out by the Treasury include:

  • all structural and investment fund projects, including agri-environment schemes, signed before the Autumn Statement, will be fully funded, even when these projects continue beyond the UK’s departure from the EU;
  • the Treasury will also put in place arrangements for assessing whether to guarantee funding for specific structural and investment fund projects that might be signed after the Autumn Statement, but while we remain a member of the EU. Further details will be provided ahead of the Autumn Statement;
  • where UK organisations bid directly to the European Commission on a competitive basis for EU funding projects while we are still a member of the EU, for example universities participating in Horizon 2020, the Treasury will underwrite the payments of such awards, even when specific projects continue beyond the UK’s departure from the EU.

As a result, British businesses and universities will have certainty over future funding and should continue to bid for competitive EU funds while the UK remains a member of the EU.

And in a new boost to the UK’s agricultural sector, Mr Hammond also guaranteed that the current level of agricultural funding under CAP Pillar 1 will be upheld until 2020, as part of the transition to new domestic arrangements.

The Treasury will work closely with the devolved administrations on subsequent funding arrangements to allow them to prioritise projects within their devolved responsibilities.

Chancellor of the Exchequer, Philip Hammond said:

“The UK will continue to have all of the rights, obligations and benefits that membership brings, including receiving European funding, up until the point we leave the EU.

We recognise that many organisations across the UK which are in receipt of EU funding, or expect to start receiving funding, want reassurance about the flow of funding they will receive.

That is why I am confirming that structural and investment funds projects signed before the Autumn Statement and Horizon research funding granted before we leave the EU, will be guaranteed by the Treasury after we leave. The government will also match the current level of agricultural funding until 2020, providing certainty to our agricultural community, which play a vital role in our country.

We are determined to ensure that people have stability and certainty in the period leading up to our departure from the EU and that we use the opportunities that departure presents to determine our own priorities.”


Generally speaking, the purchase of any vehicle where there is any element of private use means any reclaim of VAT may be restricted. HMRC’s website offers the following guidance:

  • You may be able to reclaim all the VAT on a new car if you use it only for business.
  • The car must not be available for private use, and you must be able to show that it isn’t, e.g. it’s specified in your employee’s contract.
  • Private use includes travelling between home and work, unless it’s a temporary place of work.

Due to the private use restriction, it is usual that no VAT can be recovered on the purchase of a car. However, you may be able to claim all the VAT on a new car if it’s mainly used:

  • as a taxi
  • for driving instruction
  • for self-drive hire

If you are buying a commercial vehicle, you can usually reclaim the VAT. For example, a van, lorry or tractor. You can only reclaim the VAT if you use the vehicle in a business.

If they’re used only for business, you can also reclaim VAT on:

  • motorcycles
  • motorhomes and motor caravans
  • vans with rear seats (combi vans)
  • car-derived vans

If you are in any doubt that a proposed vehicle purchase is eligible for a VAT reclaim please contact us for advice. Reclaiming the VAT when a claim is in doubt will only attract the attention of HMRC.



Wednesday 14th September 2016

Registration and refreshments from 8.30am – Seminar starts at 9.00am 

VENUE: Oswestry Cricket Club, Morda Road, Oswestry, Shropshire, SY11 2AY

Under the Pensions Act 2008 every employer must automatically enrol all employees who meet certain criteria and contribute towards this. You must be ready to start enrolling staff from your staging date. The Pensions Regulator will have already advised you of your staging date which is set in law and is the date your automatic duties as an employer come into effect for you. Preparation is the key, the Pensions Regulator suggest that you need at least a year to prepare for automatic enrolment, so you need to make sure you start making plans in good time.

Many employers are under the impression that Automatic Enrolment will not affect them as they do not employ enough staff. Automatic Enrolment is not dependent on employee numbers even if you employ just one person you must provide a workplace pension.

Automatic Enrolment is the employers’ responsibility and cannot be ignored. Failure to comply with your duties as an employer may result in you being fined and/or prosecuted. 

This seminar, presented by D&G Independent Limited, is designed to help you prepare your payroll procedures for Automatic Enrolment and explain what you will need to do to comply with the regulations. 

  • Automatic Enrolment – what it is and where you can get help
  • What is your staging date
  • Fines for non-compliance
  • Which employees are eligible
  • What are the costs for the employer
  • What are the employer’s responsibilities
  • Choosing a pension scheme
  • What you will need to do to get ready
  • Question and answer session

The seminar will last approximately 1 hour and is FREE. There will be an opportunity for questions at the end.


About the Author

John W

Member since: 10th July 2012

A quick introduction - I'm John Waine, Director of TheBestOfOswestry. Having lived in this beautiful area for around 20 years now, I have decided to stay. :)

With kind thanks

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