This Statutory Instrument corrects errors in S.I. 2016/751 and is being issued free of charge to all known recipients of that Statutory Instrument.
Statutory Instruments
2018 No. 485
Corporation Tax
The Capital Allowances (Designated Assisted Areas and Amendment) Order 2018
Made
16th April 2018
Laid before the House of Commons
17th April 2018
Coming into force
8th May 2018
The Treasury make the following Order in exercise of the powers conferred by section 45K(2)(a), (3) and (4) of the Capital Allowances Act 2001(1).
Citation, commencement, effect and interpretation
1.—(1) This Order may be cited as the Capital Allowances (Designated Assisted Areas and Amendment) Order 2018.
(2) This Order comes into force on 8th May 2018.
(3) An area designated by virtue of the Schedule to this Order is to be treated as having been designated on 16th March 2016.
(4) In this Order “CAA 2001” means the Capital Allowances Act 2001.
Designation of areas
2.—(1) The areas shown enclosed by a red line on the map of a scale of 1:1250 included in the schedule to each memorandum of understanding described in paragraph (2) are designated as designated assisted areas for the purposes of section 45K of CAA 2001 (expenditure on plant and machinery for use in designated assisted areas).
(2) In paragraph (1) references to a “memorandum of understanding” are to a memorandum of understanding entered into for the purposes of section 45K of CAA 2001 by the Treasury with the responsible authority listed in column 1 of the table in the Schedule to this Order on the date listed in column 2 of that table.
(3) Each memorandum of understanding referred to in paragraph (2) is kept at the offices of HM Treasury at 1 Horse Guards Road, London SW1A 2HQ, where they (or a copy of them) may be inspected by members of the public at reasonable hours without charge.
Amendment of the Capital Allowances (Designated Assisted Areas) Order 2016
3.—(1) The Capital Allowances (Designated Assisted Areas) Order 2016(2) is amended as follows.
(2) In Schedule 1, for Table 1 substitute—
“Table 1
| Name of responsible authority | Date of memorandum of understanding | Area included in the map | Enterprise Zone within which area falls | Assisted area within which area falls |
|---|---|---|---|---|
| England | ||||
| Leeds City Council | 12th June 2015 | Logic Leeds | Leeds City Region | Yorkshire and the Humber |
| Temple Green | Leeds City Region | Yorkshire and the Humber | ||
| East Riding of Yorkshire Council and North Lincolnshire Council and North East Lincolnshire Council | 20th January 2016 | Able Logistics Park | Humber | Yorkshire and the Humber |
| Abengoa | Humber | Yorkshire and the Humber | ||
| Capitol Park Goole | Humber | Yorkshire and the Humber | ||
| Goole 36 | Humber | Yorkshire and the Humber | ||
| Goole Intermodal | Humber | Yorkshire and the Humber | ||
| Great Coates | Humber | Yorkshire and the Humber | ||
| Stallingborough Strategic Employment Site | Humber | Yorkshire and the Humber | ||
| Wyre Borough Council | 27th January 2016 | Hillhouse | Hillhouse International Business Park | North West |
| Blackpool Council | 28th January 2016 | Blackpool Airport | Blackpool Airport | North West |
| Cumbria County Council and Carlisle City Council | 29th January 2016 | Kingmoor Park | Carlisle Kingmoor Park | North West |
| Cheshire West and Chester Borough Council | 29th January 2016 | Hooton Park | Cheshire Science Corridor | North West |
| Cheshire West and Chester Borough Council | 29th January 2016 | Ince Park (Phase 1) Ellesmere Port | Cheshire Science Corridor | North West |
| New Port Business Park, Ellesmere Port | Cheshire Science Corridor | North West | ||
| South Road Former Simms Recycling Ellesmere Port | Cheshire Science Corridor | North West | ||
| Thornton Science Park Ellesmere Port | Cheshire Science Corridor | North West | ||
| Stoke-on-Trent City Council | 29th January 2016 | Chatterley Valley East | Ceramic Valley | West Midlands |
| Etruria Valley | Ceramic Valley | West Midlands | ||
| Luton Borough Council | 29th January 2016 | Luton Airport Business Park | Luton Airport | East of England |
| Derby City Council | 23rd June 2016 | Infinity Park Derby | Infinity Park Derby Extension | East Midlands |
| Cornwall Council | 12th June 2015 | Newquay | Aerohub | Cornwall and the Isles of Scilly |
| Goonhilly Earth Station | Aerohub | Cornwall and the Isles of Scilly”. |
Rebecca Harris
Craig Whittaker
Two of the Lords Commissioners of Her Majesty’s Treasury
16th April 2018
Articles 1(3) and 2(2)
SCHEDULE
Table
| Name of responsible authority | Date of memorandum of understanding | Area included in the map | Enterprise Zone within which area falls | Assisted area within which area falls |
| The Council of the City of Sunderland and the Council of the Borough of South Tyneside | 6th April 2018 | International Advanced Manufacturing Park, Sunderland and South Tyneside | North East Round 2 | North East |
| The Council of the City of Sunderland | 6th April 2018 | Port of Sunderland, Sunderland | North East Round 2 | North East |
| South Tyneside Metropolitan Borough Council | 6th April 2018 | Holborn Riverside, South Shields | North East Round 2 | North East |
| Northumberland County Council | 6th April 2018 | Ashwood Business Park, Ashington | North East Round 2 | North East |
| The Council of the City of Newcastle upon Tyne | 6th April 2018 | North Bank of the Tyne extension | North East Round 2 | North East |
| Plymouth City Council | 6th April 2018 | Plymouth South Yard | Oceansgate | South West |
EXPLANATORY NOTE
(This note is not part of the Order)
This Order designates areas as designated assisted areas for the purposes of section 45K of the Capital Allowances Act 2001 (c. 2) (“CAA 2001”) and corrects errors made in the Capital Allowances (Designated Assisted Areas) Order 2016 (S.I. 2016/751).
Section 45K CAA 2001 provides for 100 per cent first-year capital allowances (FYAs) for companies investing in plant or machinery for use primarily in designated assisted areas within Enterprise Zones. To qualify for this new relief, the expenditure must be incurred at a time when an area is designated.
Article 2 designates areas for the purposes of section 45K of CAA 2001. The designated areas are those identified on maps included in memoranda of understanding entered into for the purposes of section 45K of CAA 2001. Article 2(3) sets out that the memoranda of understanding are deposited and available for inspection by members of the public at the address shown in that provision.
Section 45K(4) provides that, where appropriate, an order may have retrospective effect. Article 1 provides that an area designated by the Schedule to this Order is to be treated as having been so designated on 16th March 2016, so that this Order will ensure that the relevant FYAs provisions may have effect in relation to expenditure incurred on or after 16th March 2016.
Article 3 replaces Table 1 in Schedule 1 to S.I. 2016/751 to correct errors in that table.
A Tax Information and Impact Note covering this instrument was published on 16th March 2016 alongside Budget 2016 and is available on the HMRC website at https://www.gov.uk/government/publications/extension-of-enhanced-capital-allowances-for-enterprise-zones/extension-of-enhanced-capital-allowances-for-enterprise-zones. It remains an accurate summary of the impacts that apply to this instrument.
2001 c. 2; section 45K was inserted by paragraph 3 of Schedule 11 to the Finance Act 2012 (c. 14) and amended by sections 64(1) and (5) and paragraphs 1 and 3 of Schedule 13 to Finance Act 2014 (c. 26) and section 69 of the Finance Act 2016 (c. 24).