Insight > HMRC statistics > HMRC R&D tax credits statistics 2019
HMRC R&D tax crsedits statistics 2019 – our commentary
The government is giving more of a boost than ever before to the UK’s most innovative companies, according to the latest statistics. HMRC has provided information on the number of companies claiming research and development (R&D) tax credits and the value of claims for the year 2017-18 so far. There is still time to make a claim, if you think you might qualify contact one of our specialist advisors.
This page is now archived. It is based on HMRC statistics 2019 – released in October 2019.
Key points to show the value of this opportunity to innovative business in the UK
Source HMRC R&D tax credits statistics 2019
Claims since the schemes began
Updates to 2016-17 – compared to previous year
Due to the nature of the scheme, returns for the latest financial year reported (2017-18) can still be submitted past the cut-off date for the publication of these figures. As a result data for 2017-18 is not yet complete. To avoid misleading comparisons between years HMRC have compared the years 2016-17 to 2015-16 in their publication when discussing change between years, and 2017-18 when discussing in-year characteristics.
Claims in the tax year 2017-18 so far
These sectors continued to have the greatest volume of claims, making up a total of 68% of claims and 73% of the total amount claimed
R&D claims are concentrated in companies with a registered office in London, the South East or the East of England 46% of all claims and 61% of the total amount claimed
To date £26.9bn in tax relief has been claimed through these schemes.
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Regional analysis of number and value of SME R&D tax credit claims, 2017-18
Based on government office region
Firms registered in London
Number of claims
Amount claimed £(m)
Average claim value for SMEs
London
Regional allocation is based on the postcode of the company’s registered address, which might not correspond to where the R&D activity takes place, so caution must be exercised when interpreting these figures. Figures exclude claims where region is not known. Numbers are rounded to the nearest 5 and amounts are rounded to the nearest £5m.
Industry analysis of number and value of Patent Box, 2017-18 so far
Information & Communication
Professional, Scientific & Technical
Wholesale & Retail Trade, Repairs
Admin & Support Services
Construction
Manufacturing
Other services activities
Financial & Insurance
Health & Social Work
Education
Arts, Entertainment & Recreation
Agriculture, Forestry, Fishing
Transport & Storage
Water, Sewerage and Waste
Accommodation & Food
Real Estate
Electricity, Gas, Steam and Air Conditioning
Information & Communication
Number of claims
Amount claimed £(m)
Average claim value for
Information & Communication
This coding might not correspond to the industry sector of the R&D activity, so caution must be exercised when interpreting these figures. Figures exclude claims where industry sector is not known. Numbers are rounded to the nearest 5 and amounts are rounded to the nearest £5m. Where the number of claims is less than 5, or the value of claims is less than £5m we have excluded that sector from our results. This is the case for the Mining & Quarrying and Public Administration, Defence and Social Services sectors.
Podcast: Accountancy Age R&D Tax Credits: doing nothing is not an option
We spoke to Accountancy Age’s Managing Editor, Austin Clark, about the recently published HMRC statistics on R&D tax credits.
While these latest figures show that the number of claims by UK businesses is increasing, GovGrant’s CEO Luke Hamm suggests much more needs to be done to encourage more organisations to take advantage of the credits available. With the UK still way behind our major competitors when it comes to government expenditure on R&D support, Luke discusses a way forward.
