Storm in a teacake

Bizarre story of the day must go to the one about Marks & Spencer's dispute over its chocolate teacakes!

It's just won a landmark VAT battle, which has been going on since 1995, about whether its chocolate-covered teacake should be classed as a biscuit or a cake (is it just me, or does anyone else think the biscuit base always seems soft/stale?).

The teacake had been wrongly classified by HM Revenue and Customs as a biscuit, which means it's been taxed at 17.5% and lately at 15% VAT (most food is VAT-free, with exceptions including chocolate-covered biscuits, which are regarded as confectionery).

M&S went to the European Court of Justice to demand its money back and yesterday judges ruled that it is indeed a cake, and that the Treasury must return the overpaid tax. M&S is now in line for a £3.5m rebate after overpaying the VAT for more than 20 years!