Welcome Autumn Budget Allocation for R&D
We were delighted to welcome the allocation of a further £2.3 billion for investment in R&D money in the autumn budget allocation.
The boost for research and development was unveiled on Wednesday 22nd November 2017 by Chancellor Philip Hammond as part of the UK Government’s Autumn Budget 2017 announcement.
Chancellor Philip Hammond said: “We are allocating a further £2.3 billion for investment in R&D. And we’ll increase the main R&D Tax credit to 12%. Taking the first strides towards the ambition of our Industrial Strategy to drive up R&D investment across the economy to 2.4% of GDP.”
This news was welcomed by our Managing Director, Tom Verner, who believes that companies in the UK need to invest in R&D in order to innovate, continue to be competitive in the global marketplace and futureproof to ensure post-Brexit economic prosperity.
Tom commented: “The allocation of further money for R&D and the increase in the main R&D tax credit for large companies is great news for innovative UK companies and the wider economy. R&D investment has been a major announcement for the last two years and so is clearly high on the government’s agenda for economic growth.
“Businesses can now claim more tax relief on activities which qualify for tax credits and invest this to provide jobs, improve working conditions and increase their overall competitiveness. Large businesses can now claim 12% and SMEs can continue to claim 230% on qualifying activity. With this announcement, now is the perfect time for companies in all sectors to innovate and take advantage of this generous tax relief.”
Philip Hammond went on to say: “By continuing to invest in Britain’s infrastructure, skills and R&D we will ensure the recovery in productivity growth that is the key to delivering our vision of a stronger, fairer, more balanced economy.”
We have secured almost £100m to date in enhanced R&D tax credits for clients in virtually every business sector, from aerospace and defence to health and beauty, throughout the UK. We are calling on all UK businesses and their accountants to take action to explore this valuable incentive, and make the UK as competitive as its rivals in other countries.
To find out more about R&D Tax Credits contact Momentum on 028 9140 4030 or send an email to firstname.lastname@example.org
Photo via See Li/Flickr (CC BY 2.0)