PM pledges increase in support for Research & Development

Boris Johnson has told the CBI Conference that he will increase the amount of annual Research and Development (R&D) tax relief.

He told business leaders “In order to help businesses innovate, this government will double funding for research and development to £18bn in the next Parliament – the biggest ever increase in support for R&D”

Mr Johnson is thought to be planning to increase the R&D tax credit rate from 12% to 13%.

Labour have also pledged to commit extra investment in research and development, with both the government and opposition aiming to increase R&D spend as a proportion of UK GDP, from 1.7% up to 2.4% by 2027 and 3% by 2030.

What is R&D tax relief?

R&D tax reliefs are HMRC incentives created to encourage innovation and technological advances in the UK. For more information, read our R&D tax relief guide here:

.https://www.hawsons.co.uk/wp-content/uploads/2019/09/RD-Tax-Credits-Fact-Sheet-electronic.pdf

 Am I eligible?

Many companies carry out eligible R&D activities without realising that this work qualifies for relief.

R&D tax incentives are not just for niche sectors – eligible companies can be in any sector, any size, and even be loss-making. A common misconception is that R&D incentives are only for those who undertake scientific research in a laboratory, but this is certainly not the case.

 How we can help

We have extensive experience of making successful R&D tax relief claims. If you would like to discuss whether your company may be eligible to claim R&D relief, please get in touch with us.

More from our tax experts

You can find all of our latest tax articles and tax resources here.

If you are looking for advice in a particular area, please get in touch with your usual Hawsons contact.

Alternatively, we offer all new clients a free initial meeting to have a discussion about their own personal circumstances – find out more or book your free initial meeting here. We have offices in Sheffield, Doncaster and Northampton.

More from our tax experts

You can find all of our latest tax articles and tax resources here.

If you are looking for advice in a particular area, please get in touch with your usual Hawsons contact.

Alternatively, we offer all new clients a free initial meeting to have a discussion about their own personal circumstances – find out more or book your free initial meeting here. We have offices in Sheffield, Doncaster and Northampton.

Free initial consultation

Craig Walker Senior Tax Manager at Hawsons

Craig Walker

Tax Director, Sheffield

0114 266 7141

[email protected]