UK Businesses Receive Nearly £7.6 Billion in R&D Tax Credits in 2021/22
The HMRC published the R&D tax credit statistics for the fiscal year 2021-22 on September 28th, showcasing a noteworthy 11% increase. This upturn is particularly encouraging, especially in light of the slight decrease in R&D relief witnessed in the prior year.
In our summary, we underscore the main insights and the favourable rise depicted in the statistical report.
Number of Claims
It is estimated that the total number of R&D tax credit claims for the tax year 2021-22 was 90,315, which was split across the SME (88%) and RDEC (12%) schemes.
79,205
SME
4,695
RDEC (by Large Co.)
6,420
RDEC (by SMEs)
Amount Claimed (in £Billions)
The total amount of R&D tax credit support claimed in 2021-22 was estimated at nearly £7.6 Billion, which was a 14% increase for the SME scheme and a 7% increase for the RDEC scheme from the previous financial year.
£2,400M
RDEC (by Large Co.)
£4,760M
SME
£415M
RDEC (by SMEs)
Top 10 Claiming Industries (Per £Millions Claimed)
The Information & Communications (£1,755 Million), Manufacturing (£1,720 Million) and the Professional, Scientific & Technical (£1,590 Million) industries also received nearly 67% of the total claims benefit awarded to businesses within 2021-22.
Top 10 Claiming Industries (Per Number of Claims)
Manufacturing (20,720), Information & Communications (20,340) and the Professional, Scientific & Technical (14,565) sectors remain the top claimers, making up nearly 62% of total claims in 2021-22 fiscal year.
Expenditure Used To Claim R&D Tax Credits
40%
SME Scheme (2021/22)
£44.1B
2021/22 Total
60%
RDEC Scheme (2021/22)
£M Per Region
Businesses registered in London received £2,395 million in R&D tax credit relief in 2021-22, which was 32% of the total amount claimed, the South East came in second, receiving £1,390 million and 18% of the total relief. In third place was the East of England received £815 million, 11% of the amount claimed.
Claims Per Region
Businesses registered in London also topped the number of claims in 2021-22, with 19,780 or 22% of the total R&D tax credit claims, followed by the South East with 13,260 and 15%. However, this time the North West came in third with 9,220 and 10.2% of the total claims.
For more information on R&D tax credits, for advice or to find out how we can partner with your business please contact us.
