HL Deb 27 July 1989 vol 510 c1674WA
Lord O'Hagan

asked Her Majesty's Government:

Whether VAT will be added to the cost of land and buildings of new City Technology Colleges.

The Earl of Caithness

We understand that the new City Technology Colleges (CTCs) will have charitable status. If that is so, any supply to a CTC of land (including any existing buildings thereon) will be exempt from VAT. Any supplies of services in the course of the construction of new buildings will be zero-rated provided that the CTC issues the necessary certificate to the contractor claiming entitlement to the relief.