R&D tax credits contribute £8.1 billion to the UK economy
Innovative UK companies claimed £3.5 billion in R&D tax credits in 2016-17. Based on HMRC analysing this information, the £3.5 billion could go on to stimulate up to £8.1 billion of additional investment in R&D.
This additional expenditure is generated through the companies regularly spending the R&D tax credit benefit received on funding the next step in their R&D plan. This could entail appointing new skilled staff, expanding their premises, or spending on new machinery. The UK economy as a whole sees the benefit from this activity.
Full details on all HMRC’s R&D Tax Credit Statistics can be found at https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/742661/Research_and_Development_Tax_Credits_Statistics_September_2018.pdf
At the R&D Co we want to help more businesses understand what R&D tax credits are and what the benefits could be for their company. Please contact us on 01606 369000 or email us at TheRandDCo@howardworth.co.uk with any questions you may have about making a claim for R&D.