You may need to pay VAT on purchases made as part of your project and we can pay for this within our grant. Make sure you check whether VAT needs to be included when you develop your budget. The amount you request should only include VAT where you do not intend to or cannot recover at a later date. If you later find that VAT claimed under the grant becomes recoverable, you must repay this amount to us.
More information on the HMRC website: https://www.gov.uk/government/organisations/hm-revenue-customs/contact/vat-enquiries