BITA Welcomes RIFT R&D as New Platinum Sponsors
There are challenging times on the horizon for construction, but also significant opportunities for fast-moving and forward-thinking businesses. There's a looming skills shortfall that needs innovative action to
It's an indisputable fact that the construction sector is driven by innovation. Every year, new processes, technologies and materials reshape the landscape and industry alike. The UK government's goal of bringing costs down by a third and halving average completion times by 2025 is certainly ambitious. However, “smart” construction resources like Building Information Modelling and digital design tools are seeing businesses already starting to climb that mountain. There are boundaries to be pushed back and obstacles to be negotiated, meaning construction firms need the muscle to push ahead with their biggest ideas. That, at the beating heart of it, is what Research and Development Tax Credits are all about.
In every sector, businesses of all sizes are reaping the rewards of their R&D – with SMEs leading the charge. Simply put, the scheme offers valuable tax relief for companies that are working to solve technical problems. For an SME, for example, that relief amounts to 130% of qualifying R&D expenditure.
R&D Tax Credits seem almost custom-built for the construction sector. Every project in the industry throws up its own unique challenges, and yet far too many firms are missing out on the rewards their R&D innovation entitles them to. With that in mind, the latest statistics from HMRC are pretty eye-opening.
- An average SME R&D claim is £61,514.
- 21,865 claims were made by SMEs in 2015/16, a rise of 22% over the previous year.
- SME claims for 2015/16 came to £1.3 billion.
- Of those claims, only 2.5% came from the construction industry, for a total of £20 million claimed.
More than anything, what these figures show is that construction is holding itself back at exactly the time it needs to be surging forward. That's what BITA's new partnership with RIFT is setting out to fix, and it starts with getting the word out about R&D Tax Credits.
RIFT's specialist R&D division works hard to shine a light on the benefits of the scheme – but that's really just the opening shot of the battle. They work with your business, accountants and advisers to track down every project aspect that qualifies for tax relief. They then put together all the documentation and evidence to prepare and back up your claim, and guide you through every step of the process. Once those numbers are crunched, RIFT will compile and hand over the claim to your accountants for submission, but still keep in contact after it's paid out to make successive claims even simpler.
RIFT has had strong ties with BITA for many years now. Their founder, Jan Post, first met BITA President Paul Whitnell at a Co-operation Ireland charity event when BITA first launched, and has admired their work and followed their progress ever since. RIFT's new sponsorship agreement means the company can get even more closely involved and provide all the help and support needed by members.
Innovation is the brick and mortar of construction, and R&D Tax Credits need to take their proper place at the forefront of industry thinking, planning and practice. Get in touch to hear more about how BITA and RIFT can help you turn your biggest ideas into real-world rewards.