A Scout group in desperate need of a new home has suffered a major setback at the hands of the taxman.

The 11th Hunsworth Scouts have been fundraising to replace the dilapidated Second World War hut they use.

Earlier this year, with £80,000 in the bank, they had hoped to begin building work.

At the last minute organisers discovered that even registered charities had to pay VAT - pushing costs up by about £20,000.

Chairman Rodney Holroyd said: "We had an extremely good year, but we had this one fairly major let-down.

"We were virtually all set to make a start on building when we realised we had more VAT to pay.

"We thought as a charity that some things would be exempt.

"Now it means we have a shortfall of about £20,000 and had to put the builders off.

"We've been knocked back to square one really and are contacting organisations and local businesses for help to raise the funds needed."

The Spen Valley group's decade-long "11th Our Appeal" managed to raise about £25,000 this year in a last push.

And with firm plans drawn up they pared down the original scheme to come in at £80,000 so work could begin.

But when Mr Holroyd took a closer look at the position with VAT and realised it was bad news for the scouts.

A spokesman for the Charity Commission said it was a common mistake for people to make.

There is no blanket exemption for charities from the VAT system, she said, but it does not mean charities are charged the tax on everything they buy.

The current prefabricated hut has a leaky roof and does not comply with disability legislation. Members fear it will not last through another winter.

Yet it now looks like it could be next summer before the building can start.

The Scouts already have planning permission to build a new hut the same size as the existing one they bought for £300 about 40 years ago.

The design must fit in with surrounding buildings so cannot be prefabricated.

It includes a hall, kitchen, storage and disabled facilities and will hopefully increase membership numbers.

Anyone who can help can

contact Mr Holroyd on (01274) 686142.