Nottingham tops East Midlands R&D league table

Nottingham leads the way as the area with the highest percentage of innovative businesses across the East Midlands nine unitary authority areas, according to new figures.

A total of 220 successful claims were made by Nottingham companies (2.32% of all enterprises within the area), including SMEs and large businesses, for R&D tax relief in the latest 2016-17 figures released by HMRC. This puts Nottingham at the top of an Innovation League Table produced by R&D tax relief firm Jumpstart showing the number of claims being made in relation to the number of enterprises in each of the region’s unitary authority areas.

Initial HMRC statistics from last September showed an increase of 714% in the amount of R&D (research and development) tax relief savings being claimed by East Midlands companies over the last seven years, the second highest level of growth across the UK. The figures show manufacturing, information and communication and professional, scientific and technical sectors in the region accounting for the majority of claims.

The East Midlands League Table shows Derby as the second most active area with 1.98% of businesses securing successful R&D tax relief claims and Leicester ranked third with 1.64% of businesses claiming. Rutland is at the foot of the table with only 0.56% of businesses securing a successful claim.

Antony Beak, business development manager for Jumpstart in the East Midlands region said: “Today’s HMRC figures form the basis of our Innovation League Table. It shows Nottingham leading the way in making successful R&D tax relief claims in the East Midlands. A relatively high percentage of local companies in key sectors such as life sciences, digital and food & drink are driving its strong regional placement. Significant numbers of local businesses have been successful in securing R&D tax relief for their investment in innovation to improve operational processes and enhance competitiveness. The generous reliefs offered by the UK Government continue to support businesses in achieving these aims.

“The HMRC stats show more than £885m in R&D tax relief credits were secured by East Midlands companies in the 2016-17 period, underlining the importance of the scheme in supporting businesses which aspire to be world class.”

R&D Tax relief claims by East Midlands county area *

Nottingham 2.32%

Derby 1.98%

Leicester 1.64%

Leicestershire 1.60%

Derbyshire 1.31%

Northamptonshire 1.31%

Nottinghamshire 1.05%

Lincolnshire 1.04%

Rutland 0.56%

*The above figures are based on the most recent (2016-17) R&D tax relief claim statistics produced by HMRC in relation to the number of enterprises in each unitary authority area, based on UK Government statistics.