VAT Partial Exemption for "Specified" supplies

Dear HMRC, Section 9.4 of VAT Notice 706 says: "Supplies described in items 1 and 6 of Group 5 of schedule 9 to the VATA 1994 (mainly supplies of financial instruments such as shares and bonds) and supplies made from overseas establishments are catered for by the standard method but are excluded from the values-based calculation, irrespective of their place of supply. Instead, input tax wholly or partly relating to these supplies is ring-fenced and recovered on the basis of the use of the purchases in making UK taxable and ‘foreign’ and ‘specified’ exempt supplies. All remaining input tax is recovered by reference to the output values-based calculation (unless a new partly exempt business opts to recover on the basis of use in accordance with paragraph 4.6)" I do not quite understand the rules of VAT deduction in this case. Can I ask you to give an example of how the calculation would work in case of input VAT deduction related to "specified" supplies? Thank you!

Hi, 
We are unable to give example calculations. If you require further assistance where you feel the guidance is unclear we would advise you to contact the written enquiries team giving your specific situation, the guidance you have referred to and what you are unsure about relating to your own supplies. Contact details can be found here under the post heading:
VAT: general enquiries
Thank you.