HMRC publish R&D tax credits statistics
HMRC have recently published their latest R&D statistics which confirm the value of these important tax incentives to innovative companies. The statistics show some new trends as well as reporting on others from previous years, most interestingly there is an increase in awareness with increase in the update of the R&D tax credit incentives together with a rise in the average claim value.
Some of the reports key findings are –
- HMRC report that they have seen the number of claims submitted more than double in the last year.
- The average claim value in 2016-17 rose to £53,876.
- Since 2013-14, the number of companies making a claim has more than doubled.
- Of the SME’s making a claim, 75% of these claims are worth less than £50,000.
- For 2016-17, the average Research & Development Expenditure Credit (RDEC) claim is worth £272.881.
- 5,900 RDEC claims were submitted in 2016-17, this shows a 185% increase since the scheme was introduced in 2013.
- This increase is also supported by the fact that more SMEs are claiming via RDEC than large companies.
(The statistics for 2016-17 are not yet complete as the returns for this period can still be submitted past the publication date) Due to this we expect this data to be revised next year, therefore figures should be viewed as provisional.
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