VATDREG10000 - Deregistration allowed
If you are satisfied that deregistration is appropriate, you should cancel the registration from the date of the trader’s request, or from such later date as may be agreed. There is no provision to allow an earlier date of deregistration where a trader still has an entitlement to be registered.
HMRC has been successful in defending this stance at several tribunals, including Mr S Moloney LON/96/1723, VTD 14873