The Upper Tribunal agreed with the First Tier Tribunal’s dismissal of Northern Gas Networks Limited’s appeal finding that expenditure on the removal or improvement of iron pipes was not a qualifying expenditure for land remediation tax relief.

Northern Gas owned and operated a regional gas distribution network which it had acquired on the hive down of its then parent company, National Grid Transco (NGT), gas distribution business. Over three years up until 2009, Northern Gas incurred a significant amount of expenditure on the compulsory programme, 30/30 Programme, for the replacement or improvement of iron pipes.