Community Energy England slams Treasury over lack of response to legal action

Community Energy England (CEE) has criticised HM Treasury for failing to respond to its letter before action prior to the removal of EIS and SEIS tax relief, which occurred yesterday.

Last week CEE tabled a letter before action with the Treasury regarding the controversial cuts. The letter served as the first step towards a judicial review.

Upon receipt of the letter, the Treasury had 14 days to respond however at the time CEE chairman Philip Wolfe said he hoped for a response prior to 30 November – the last day in which investments in community energy were eligible for relief under the schemes.

But in a statement today, CEE confirmed that while HMT’s legal team had been in touch with its lawyers BWB, it noted that the Treasury had “yet to respond”.

“We are not entirely surprised it is taking them so long to come up with answers… it is hard to dispute that the Treasury has not acted in accordance with specific statements made in the budget earlier this year. Our members have planned their projects in the legitimate expectations that those undertakings would be honoured,” Wolfe said.

The Treasury must now respond in full before next Tuesday 8 December or face strict penalties.