Treasury blow to community energy

The Treasury has just announced that they will exclude community energy projects from the Enterprise Investment Scheme (EIS). It appears that they don’t like double-subsidies (e.g. FITs plus tax relief) in spite of being in favour back in March. We are told that shares need to be issued by 30 November 2015 for investors to qualify for the relief – even where investments have received advance assurance. There has been no prior warning of this policy change and no explanation of why the government has decided to take this step.

Our next share issue will be on 29 November 2015 so investments in Whalley Community Hydro by that date will be eligible for 30% tax relief under EIS for investors who are eligible i.e. have paid enough tax. Shares will still be available after 30 November 2015 but they will not attract EIS tax relief.

If you are thinking of investing, the application form can be found at the end of the Share Offer document on our website.