Capital Allowances Act 2001 section 153

Ships which are not qualifying ships

Section 153 identifies the types of ships that are excluded from being treated as qualifying ships for the purposes of capital allowances.

• A ship is not a qualifying ship if ships of the same kind are primarily used for sport or recreation, whether by their owners or by others to whom they are made available.
• Passenger ships and cruise liners are not caught by the sport or recreation exclusion and may therefore still be qualifying ships.
• A ship is not a qualifying ship at any time when it is being used as an offshore installation, such as a structure used for mineral exploration, gas storage, pipeline conveyance, or accommodation for offshore workers.
• The test for sport or recreation looks at the primary use of ships of the same kind generally, not just the particular ship in question.