VAT Tribunal decides that college attached to a University is within the VAT education exemption

Solent Pathway Campus Ltd is a Joint Venture between Solent University and another company. Students obtain a foundation award at Level 3 of the National Qualifications Framework, equivalent to year 1 of a degree with Solent University but the college did not offer degree level courses.

The question was whether the body was a “college” of the University and therefore within the scope of the VAT education exemption.  The Tribunal rejected HMRC’s suggestion that it was not a formal college or school of the University; if HMRC had been successful VAT would have added to all college fees.   

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