HMRC issued Revenue & Customs Brief 20/14, confirming that it is appealing the High Court judgment in Littlewoods on compound interest. In Mercedes-Benz Financial Services, the UT held that a car finance agreement with an option to buy was a supply of services rather than of goods. In Birmingham Hippodrome, the Court of Appeal ruled on the extent of HMRC’s set-off powers where a taxpayer makes a claim for overpaid output VAT but has also over-reclaimed input VAT. HMRC issued Brief 22/14, explaining that it is still considering the VAT treatment of pension scheme administration and fund management services following recent CJEU cases.