Jersey Choice Ltd appealed against the decision of the High Court to strike out its claim for Francovich damages arising from the removal of a VAT relief which the company claimed was in breach of EU law.

The Court of Appeal dismissed Jersey Choice’s appeal, holding that, contrary to the company’s submission, the removal of the VAT relief was a decision in the tax sphere, and was lawful.  The Court held that Jersey Choice’s rights under articles 28, 30 and 34 of the Treaty on the Functioning of the European Union were unaffected.

Amy Mannion acted for HMT (instructed by HMRC Solicitor’s Office) and was led by Jessica Simor QC of Matrix Chambers.