Which industries can claim R&D tax credits?

Any company, regardless of its industry, can claim R&D tax credits so long as they are carrying out activity deemed as research and development under HMRC’s guidelines.

However, a few industries claim significantly more than others. Below is a list of the top 10 industries by their share of R&D claim value in 2021-22 (which are the latest available figures):

• Information & Communication – 24%
• Manufacturing – 23%
• Professional, Scientific & Technical – 21%
• Admin & Supportive Services – 7%
• Construction – 6.3%
• Wholesale & Retail Trade, Repairs – 5.3%
• Financial & Insurance – 4%
• Mining & Quarrying – 1.5%
• Arts, Entertainment & Recreation – 1.5%
• Education – 1.21%

If you’re a tech company making a claim, here is a guide on software development claims.

While these industries claim significantly more than others, it doesn’t mean that you can’t make a claim if your business is in a different industry.

What we tend to find is that innovative businesses in other industries outside these top ten are more likely to miss making a claim when they are engaged in eligible R&D activity. We’ve processed successful claims for frozen cocktail makers, sunglass designers and water quality experts.

If your business is doing innovative work, then you may well be able to claim. Read our guide to eligibility, understand the qualifying costs and get in touch with our team if you want to find out whether you are eligible for an R&D tax relief claim.