Statement in reaction to the HMRC R&D tax credit uptake statistics @ForrestBrownTax

Commenting on HMRC’s annual Research and Development Tax Credits Statistics, released today, Jenny Tragner, director at R&D tax credit consultancy ForrestBrown and a member of the R&D Consultative Committee, said: 

“There are at least a quarter of a million construction SMEs in the UK, but these figures show that less than 1% (1,940) are making use of R&D tax incentives.

“Construction represents some 7% of the UK’s GDP. As a very diverse industry, R&D is widespread, although the potential for making a claim is not always recognised by construction firms.

 

“Even accounting for the large proportion of sole traders in this industry, we’d expect more firms to be eligible and making an R&D tax credit claim.

 

“Given that the average construction SME claim is worth £50,279, we would urge this sector to wake up to the potential for R&D tax incentives to help them innovate. In a sector constrained by rising material costs and a skills shortage, R&D tax credits represent a valuable source of funding. With so much uncertainty in the sector, it pays to seek specialist advice to ensure your claim is correct and fully maximised – and your business protected.”