The UK government spends around 0.49% of GDP on funding research and development (R&D), prompting business groups to call for an increase to help increase growth.
The Confederation of British Industry (CBI) is calling on the government to increase total R&D spending to 3% of GDP as research shows that the current level of spending is the lowest among the G8.
The CBI wants the government to set out a “coherent framework” to boost innovation and create more capacity in the economy in the long term.
Getting the most out of R&D
In order to qualify for government tax credits or relief a company must be engaging in R&D activities that are:
- systematic, investigative and experimental
- carried out in an approved scientific or technological field
- seeking technological or scientific advancement
- seeking to resolve uncertainty.
The rates of relief available depend on the size of your company. If you would like to discuss your eligibility to claim reseach & development tax credits with one of our experienced R&D specialist tax accountants please contact us on 020 7330 0000.
Mark Rubinson – mrubinson@abggroup.co.uk – 020 7330 0005
