British Construction Companies are missing out on hundreds of millions – potentially billions – of pounds in unclaimed R&D tax credits.
Every day on projects and in businesses up and down the country, innovative solutions are devised to overcome process, technical, logistical, method-related or safety challenges.
Despite this, only 480 construction companies – out of a total of 290,000 – made a claim via the Government’s R&D Tax Credit scheme in 2014-15.
R&D Tax Credit in UK Construction Sector
Even if innovation accounted for just 1% of UK construction’s turnover – and our work with clients has shown it is typically several times this – then, for an industry worth more than £145 billion per year, there is potentially over £1 billion in R&D Tax Credit claims that could be made by the construction industry every year.
Yet over the last three years R&D Tax Credit claims from the construction industry have averaged just £23 million per year.
What is the R&D Tax Credit Scheme?
The R&D Tax Credit Scheme is a Government incentive designed to encourage the growth of research and innovation in UK industries to improve productivity. We support HMRC in achieving this goal in our industry by helping construction leaders change their perception and recognise the R&D they actually carry out on a regular basis.
Most people think that “real R&D” is carried out in laboratories by people in white coats. We help companies to overcome this misconception by enabling them to view their day-to-day activities as innovative solutions that resolve challenging constraints and uncertainties. By helping companies to unlock value from these activities, we are also helping to generate a cycle of continuous improvement in the industry.
Whether you’re overcoming specific ground conditions, adapting equipment, creating new processes or developing better, safer, or greener methods of construction, you are almost certainly undertaking R&D.
Through our R&D services, our clients benefit by:
- The identification of current R&D activities in their processes, services, and products
- The preparation of HMRC applications for R&D tax claims
- The achievement of sustainable growth in innovative capabilities
While supporting our clients, we help HMRC to:
- Publicise the benefits of the scheme
- Encourage investment in innovation
Whatever the size or type of your business, we believe that you can unlock value by utilising the R&D tax credit scheme. To find out more, call us for a FREE initial consultation about your business or fill in your details below to download a free guide to R&D tax credits for your construction business.
Download Our Free Research & Development Tax Credits Guide
Explaining the scale of the opportunity, how the UK R&D Tax Credit Scheme works, and the types of activities that companies in the construction sector can claim as R&D for tax purposes.