Queen Mary, University of London v Revenue & Customs

VAT �lease of land and leaseback of land with plant and machinery-� single or multiple supply � whether a supply of land or of fixed plant and machinery within Art 135(2)(c) of the VAT Directive � whether any part of the supply zero rated

Robert Wastell, counsel, instructed by the Solicitor to HM Revenue and Customs, for the Respondents

This is appeal is about the nature for VAT purposes of the provision (to use a neutral word) �of land and plant and machinery made to Queen Mary, University of London (�QMC�) by a subsidiary of Lloyds bank, Lloyds Property Investment Company No.5 Ltd (�LPIC�).� The question is whether all or any part of that provision was zero-rated (as the Appellant contends) rather than standard rated (as HMRC contend).

The facts were uncontroversial.� We draw them from the documents before us, the evidence of Dean Curtis, the Chief Administrative Officer at QMC, and the witness statement of Kevin Harris of Lloyds TSB:-

(i) QMC is part of the University of London.� It conducts medical teaching and research.� In the 1990s it decided to concentrate part of its activities (broadly those relating to cell and molecular biology) at one site and to house them in a new building which came to be called the Blizard Building;