Partner Article

R&D Tax Reliefs: Implications for the North East

The North East is top of the R&D Tax Reliefs league table for the growth in numbers of claims made

HMRC publish annual statistics showing the main location of companies who are making R&D tax relief claims, and this year the North East has come up top.

Tait Walker’s R&D Claims Team

We don’t believe this is a coincidence. In 2011, Tait Walker LLP established the first dedicated R&D claims team based solely in the North East , with a focus on assisting North East based SME’s to make claims under the R&D Tax Relief programme. Since September 2011 the team has successfully claimed back more than £7m via the R&D Tax Relief programme for over 100 companies. Many of these companies were previously unaware that the R&D Tax Relief programme could help them.

The Statistics

In the latest league tables the North East has come top in terms of the percentage growth in numbers of claims made as well as, potentially more importantly, the growth in numbers of claims made by SME’s.

These statistics, published today, show that the number of claims made by North East companies has increased by 28% year on year, and year on year claims made by SME’s in the North East has increased by 33%.

The statistics also show that the benefit received per company for North East SME’s is growing, exceeding that of many other regions within the UK. This is direct recognition of the amount of R&D being carried out by the high value engineering, pharmaceutical and manufacturing companies that are based in the North East.

What this means for the North East

The growth rate of claims made in the North East outstrip any other region of the UK, suggesting that companies in the North East are benefitting from making claims at a rate which is faster than any other part of the UK.

The use of R&D Tax Reliefs as a source of funding is something all companies in the North East should consider, and in line with this Tait Walker LLP will be working hard to ensure the North East will remain top of the league in next year’s statistics.

This was posted in Bdaily's Members' News section by Alastair Wilson .