Key points: National Statistics

National statistics

Research and Development Tax Credits Statistics: September 2022

Updated 29 September 2022

Below you will see an excerpt from the government website showing national statistics on R&D Tax Relief

“At TaylorRoberts & Co. it's not about a tax loop-hole or tricking the tax office, it's about assessing whether or not you have earned tax relief you can claim back.”

Below is what the government say about R&D Tax Relief SOURCE: https://www.gov.uk/government/statistics/corporate-tax-research-and-development-tax-credit/research-and-development-tax-credits-statistics-september-2022

Key Points

• the provisional estimated amount of total Research and Development (R&D) tax relief support claimed for the tax year 2020 to 2021 was £6.6 billion, a decrease of 4% from the previous year. This corresponds to £38.1 billion of R&D expenditure, 11% lower than the previous year

• conversely, the provisional estimated total number of R&D tax credit claims for the tax year 2020 to 2021 was 89,300, an increase of 7% from the previous year. The increase is driven by a 7% rise in the number of R&D claims within the SME scheme to 78,825

• this means there was a 10% decrease in the average value of claims in 2020 to 2021, which could be due to the impact of the COVID-19 pandemic, which may have prevented some companies from carrying out their normal levels of R&D activity

• there is a concentration of claims by companies with registered offices in London (21% of total claims and 31% of total amount claimed), and the South East (15% of total claims and 18% of total amount claimed). However, the registered office location may not be where all the R&D activity takes place

• the Information and Communication, Manufacturing, and Professional, Scientific and Technical sectors continued to have the greatest volume of claims, making up 62% of total claims and 70% of the total amount claimed for the tax year 2020 to 2021