The latest stats from HMRC for the 2015/16 tax year show a considerable increase in the number of claims for R&D tax credits.
The removal of the minimum R&D spend of £10k has opened the door to more businesses, typically in the SME sector, and this is borne out by the stats that show a 22% increase for this group.
HMRC also point to the increase in the SME enhancement expenditure rate (125% to 130%) as a key driver in the increased number of claims.
Notwithstanding this, many businesses are still missing out on this valuable relief. As a recap, if a company is seeking to resolve a scientific or technological uncertainty with the aim of achieving an advance in the overall knowledge in that field/industry then it is probably doing "qualifying" R&D and could claim tax relief for this.
Furthermore, tax reliefs aimed at encouraging businesses to invest more in R&D and innovation are likely to be an increasingly key aspect to the UK government's strategy post Brexit as it seeks to encourage businesses to continue to invest in the UK.
SMEs are starting to make greater use of R&D tax credits, with the latest statistics showing a 22% increase in the number of claims in the past year, which HMRC says reflects changes made to the SME scheme from April 2012 onwards