Community Energy England (CEE) has written to the Treasury, challenging its recent actions within the Enterprise Investment Scheme (EIS).
In its statement, CEE describes the letter as “the first step towards a judicial review of the removal of EIS”.
The letter points out that the government promised within the March 2015 budget to provide six months’ notice of the tax scheme’s removal, but that this was not the case and there was no transition period.
It reads: “CEE contends that the budget statement created a ‘legitimate expectation’ in law, ie a series of clear assurances that the government would not remove EIS from community energy groups without implementing transitional provisions.”
Investors currently have just two days to claim tax rebates of 30% on investments in community energy schemes.