CLAIMANTS IN THE ROYAL MAIL GROUP LITIGATION v ROYAL MAIL GROUP LIMITED

CLAIMANTS IN THE ROYAL MAIL GROUP LITIGATION v ROYAL MAIL GROUP LIMITED

Royal Mail's Sample Services, except Door-to-Door, were properly exempt from VAT during the Relevant Period because they were provided as public postal services acting as such, under regulatory mandate and price controls. Royal Mail was an emanation of the State until privatisation, and for mandated services thereafter.

Parties
Lead Claimant: Harrier LLC; Lead Claimant: H Tempest Limited; Lead Claimant: Leicester City Council; Defendant: Royal Mail Group Limited
Jurisdiction
England and Wales
Judgment Date
28 March 2022
Procedural Posture
Group Litigation Order / Judgment on Preliminary Issues
Outcome
Preliminary issues determined in favour of Royal Mail on VAT exemption; Royal Mail found to be an emanation of the State as specified.
Legal Topics
VAT Exemption, Postal Services Regulation, Direct Effect of EU Law, Emanation of the State
Tax Law Administrative Law European Union Law VAT Exemption Postal Services Regulation Direct Effect of EU Law Emanation of the State

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Parties

Harrier LLC

Lead Claimant

H Tempest Limited

Lead Claimant

Leicester City Council

Lead Claimant

Royal Mail Group Limited

Defendant

Procedural Posture

Group Litigation Order / Judgment on Preliminary Issues

Legal Issues

  1. 1 Whether certain postal services offered by Royal Mail during the Relevant Period were exempt from VAT under EU law
  2. 2 Whether Royal Mail was an emanation of the State for purposes of direct effect of EU law

Ratio Decidendi

Royal Mail's Sample Services, except Door-to-Door, were properly exempt from VAT during the Relevant Period because they were provided as public postal services acting as such, under regulatory mandate and price controls. Royal Mail was an emanation of the State until privatisation, and for mandated services thereafter.

Court Disposition

Preliminary issues determined in favour of Royal Mail on VAT exemption; Royal Mail found to be an emanation of the State as specified.

Orders

  • Sample Services (except Door-to-Door) held VAT exempt under EU law during Relevant Period.
  • Royal Mail declared an emanation of the State until 15 October 2013 and for mandated franking services thereafter.