Firms in Bristol and across the West of England are continuing to miss out on millions of pounds of research and development (R&D) tax credits, according to regional accountancy firm Bishop Fleming.
R&D tax specialists at the firm, which has its largest office in Bristol, say that even though there has been a 20% increase in companies claiming the tax credits, just 8% of total claims are from West firms. 
Bishop Fleming head of tax Andrew Browne, pictured, said: “The latest R&D statistics from the government bring into clear focus the opportunities available to companies to save tax and receive tax credits.
“Of the 26,255 claims made in 2015-16 across the country, totalling £2.9bn in tax breaks, only 2,040 claims were made by West companies, reaping the benefits of only £130m.”
Tax partner Chris Walklett added: “There is so much potential for innovative companies to be rewarded for their hard work. Many companies simply don’t think they are eligible to claim, but that is a stubborn myth; the tax benefits are potentially there for all that are developing and improving their products, services or processes.”
The government has sought to make the R&D scheme more attractive through increases in the rates of relief, as well as the scrapping of a £10,000 deminimis limit on R&D expenditure before a claim could be made.
Bishop Fleming secured more than £66m in R&D tax credits for businesses in the past year, having secured over £200m in R&D relief over the past six years.
Mr Browne said: “R&D applies to a wide range of businesses, not just those who wear white coats in labs. It has taken more than 17 years for companies to recognise the potential to save millions of pounds in tax from R&D tax credits, and we are helping hundreds of companies to grab that opportunity.”
Bishop Fleming, which has seven offices spanning from the West Midlands to the South West, also delivers accounting, tax, corporate, restructuring and advisory services to businesses and private wealth advice to individuals.
