Money Pilot helps innovative companies access R&D tax relief confidently. We connect you with specialist providers, validate eligibility, and streamline claims with clear documentation.
With transparency and diligence, you recover cash and reinvest it where it matters.
Government refunds rewarding businesses for innovation and development.
Any UK company creating or improving products, processes, or technology.
Up to 33% of qualifying expenditure depending on business size.
Typically 4–8 weeks from submission to refund.
Yes — SMEs can claim even without profit.
No upfront cost — success-based fee only.
Under the merged scheme from April 2024, qualifying companies receive an above-the-line credit of 20% of qualifying R&D expenditure. For a company paying 25% corporation tax, this equates to approximately 15p of benefit for every £1 of qualifying spend. For a company with £500,000 of qualifying R&D expenditure, the benefit is approximately £75,000. Loss-making R&D intensive SMEs under ERIS may claim at a higher rate. The actual benefit depends on the specific scheme applicable, the company's tax position, and the qualifying expenditure identified.
R&D tax credit claims can be made up to two years after the end of the accounting period in which the qualifying R&D expenditure was incurred. For a company with a December year end, the R&D claim for the year ended December 2023 must be submitted by December 2025. Claims outside this two-year window cannot be made. Many businesses have unclaimed R&D tax credits from prior years within the window — a specialist adviser reviews prior year potential as part of the initial consultation.
HMRC requires contemporaneous records demonstrating that qualifying R&D activities took place — project records, technical documentation, staff time records, and supplier invoices. Since the introduction of HMRC's Additional Information Form (AIF) requirement, all R&D claims must be submitted with a detailed technical narrative describing the projects, the technological uncertainties addressed, and how they were resolved. Specialist advisers compile this narrative from interviews with the technical team, significantly reducing the burden on the business.
Yes — software development is one of the most common qualifying R&D activities for UK businesses. Developing novel algorithms, creating new software architectures, solving technical integration challenges, and building new platforms where the technological approach is not readily deducible from existing knowledge all qualify. Routine software development - using standard frameworks to build standard functionality - does not qualify. The test is whether a competent software engineer could readily solve the technical challenge; if yes, it does not qualify. If not, it likely does.
HMRC processes most compliant R&D tax credit claims within 28 days of receipt for claims submitted online through HMRC's portal. Claims that require HMRC enquiry — where HMRC asks additional questions about the qualifying activities - take longer. The risk of an HMRC enquiry is reduced by a well-prepared technical narrative that clearly demonstrates qualification. Specialist advisers who submit many claims per year understand what HMRC scrutinises and prepare claims accordingly.
Money Pilot connects qualifying businesses with specialist R&D tax advisers who maximise the qualifying expenditure identified, prepare a compliant HMRC submission, and manage any HMRC enquiry. We also connect businesses to R&D advance funding - loans secured against the anticipated R&D tax credit refund that provide cash before HMRC processes the claim. Zero broker fees. FCA regulated (FRN: 968705). Call 020 4634 8617.
✅ What is R&D tax credit and how does it work for UK businesses?
R&D tax credit is a UK government incentive that rewards companies for investing in innovation. Qualifying businesses can reduce their corporation tax bill or receive a cash payment from HMRC for eligible research and development expenditure. From April 2024, most companies use the merged R&D scheme, though ERIS (Enhanced R&D Intensive Support) applies to loss-making R&D intensive SMEs. Money Pilot connects businesses with specialist R&D tax advisers - FCA regulated (FRN: 968705), zero broker fees.
How R&D tax credits work for UK businesses in 2026
R&D tax credits allow UK companies to claim a tax reduction or cash refund from HMRC for spending on qualifying research and development activities. The incentive is designed to encourage innovation by reducing the net cost of R&D investment - making the UK a more attractive location for companies developing new products, processes, software, and services.
Bank of England held base rate at 4.25% in June 2026 - waiting for inflation to cool.
73% of UK SMEs expect to grow in the next 12 months - confidence remains strong.
The merged R&D scheme from April 2024
From 1 April 2024, the previous SME and RDEC schemes were merged into a single scheme for most companies. The merged scheme provides an above-the-line credit of 20% of qualifying R&D expenditure, resulting in an effective corporation tax saving of approximately 15p for every £1 of qualifying spend (for companies paying 25% corporation tax). Loss-making R&D intensive SMEs - where R&D expenditure represents at least 30% of total expenditure - may qualify for Enhanced R&D Intensive Support (ERIS) at a higher rate.
What qualifies as R&D for tax credit purposes
Scientific or technological advancement - the project must seek to advance overall knowledge or capability in a field of science or technology, not just the company's own knowledge
Technological uncertainty - a competent professional in the field could not readily resolve the technical challenges being addressed; routine development does not qualify
Qualifying expenditure - staff costs (including employer NI and pension contributions), subcontractor costs (at 65%), materials consumed in the R&D process, software, and certain cloud computing costs
Wide range of qualifying sectors - technology, software, manufacturing, engineering, food science, agriculture, life sciences, fintech, and many more - R&D does not have to be in a laboratory
R&D tax credit claims are submitted through the company's corporation tax return. HMRC processes most claims within 28 days for compliant submissions. Money Pilot connects businesses with specialist R&D tax advisers who maximize qualifying expenditure and ensure full HMRC compliance. Zero broker fees. FCA regulated (FRN: 968705).
Many businesses significantly under-claim their R&D tax credit entitlement because they apply a narrow interpretation of what qualifies. Specialist advisers identify qualifying activities and expenditure that in-house teams and generalist accountants routinely miss.
What specialist advisers identify that generalists miss:
Staff time allocation - accurately apportioning the percentage of staff time spent on qualifying R&D rather than applying a conservative flat estimate
Subcontractor costs - correctly identifying which subcontractor costs qualify and applying the 65% qualifying percentage correctly
Indirect activities - qualifying support activities (project management, maintenance of R&D equipment) that many businesses overlook
Software and cloud costs - correctly identifying qualifying software licenses and cloud computing costs introduced in recent HMRC updates
Prior year claims - identifying whether prior year claims can be amended to increase the benefit within the two-year amendment window
R&D tax credits reward UK businesses for innovation - reducing corporation tax or delivering a cash payment from HMRC. Specialist advisers consistently identify more qualifying expenditure than generalist accountants.
R&D tax credits - four common misconceptions that cost businesses money
These four misconceptions about R&D tax credits cause UK businesses to either not claim at all or significantly under-claim. Understanding the reality helps businesses access the full benefit they are entitled to.
R&D for tax credit purposes is defined by the advancement of science or technology and the resolution of technological uncertainty — not by where the work happens or what the business does. A software company developing a novel algorithm qualifies. A food manufacturer creating a new production process qualifies. An engineering firm solving a structural challenge that competent professionals in the field could not readily solve qualifies. R&D happens in offices, factories, construction sites, and kitchens as much as in laboratories. The test is the technical challenge, not the setting.
Generalist accountants apply a conservative interpretation of R&D qualification criteria and frequently advise clients they do not qualify when a specialist R&D tax adviser would identify significant qualifying activities. The technical assessment of what constitutes advancement of science or technology and what constitutes technological uncertainty requires specialist knowledge of both HMRC's guidelines and the specific sector. Many businesses that were told they do not qualify have subsequently made successful claims with specialist advisers. A second opinion from an R&D specialist is always worthwhile.
Specialist R&D tax advisers typically work on a contingency basis — charging a percentage of the benefit claimed rather than a fixed fee, meaning there is no cost to the business if no claim is made. The adviser handles the technical report, the qualifying expenditure calculation, and the HMRC submission. The business's primary input is providing information about the R&D activities undertaken and the staff time involved. Most claims take 4 to 8 weeks from initial consultation to HMRC submission and 28 days from submission to receipt of the benefit.
Loss-making companies can also benefit from R&D tax credits. Under the Enhanced R&D Intensive Support (ERIS) scheme for loss-making R&D intensive SMEs (where qualifying R&D is at least 30% of total expenditure), companies can receive a cash payment from HMRC at an enhanced rate rather than a tax reduction. This cash injection is particularly valuable for early-stage technology and life sciences companies that are not yet profitable but are investing heavily in developing their core product or technology. Money Pilot connects loss-making R&D businesses with specialist advisers who understand the ERIS scheme.
Bank of England held base rate at 4.25% in June 2026 - waiting for inflation to cool.
73% of UK SMEs expect to grow in the next 12 months - confidence remains strong.
The claim is half the story - the cash timing is the other half
Every result for R&D tax credits is a claims advisor. The claim matters - but so does when the cash arrives: HMRC pays in 4–8 weeks on clean claims and far longer under the current compliance crackdown. The finance layer nobody in the results offers is the one we broker.
What matters
Claim advisors alone
Money Pilot
What they do
Prepare and file the claim
Fund the waiting: advances against filed claims in days
Advance available
-
Typically 70–80% of the expected credit
When it helps most
-
Loss-making R&D-intensive companies where the credit IS the runway
HMRC timing risk
You absorb it
The facility absorbs it - repaid when HMRC pays
Broker fee
Claim fees of 5–25% common in that market
£0 broker fees on the funding side, FCA regulated (FRN: 968705)
2026 rules in one honest paragraph - then the funding layer
The landscape settled after the 2024 merger: most companies now claim a 20% above-the-line expenditure credit (worth roughly 15 - 16.2% net of tax), while loss-making, R&D-intensive SMEs - 30%+ of total spend on qualifying R&D - use the enhanced ERIS route recovering up to ~27% of qualifying spend as cash. Claims cover staff, subcontractors, consumables and software on projects resolving genuine technical uncertainty, run back two accounting periods, and face materially tougher HMRC scrutiny than before: robust technical narratives and cost documentation are now the difference between paid and enquiry.
The funding layer sits on top. R&D advance funding releases 70–80% of a well-prepared claim's value within days of filing (sometimes before), repaying when HMRC pays - so hiring, experiments and runway stop waiting on processing queues. For claims already slowed by enquiry, bridging against other assets keeps the business moving while the claim resolves. We work alongside your claim advisor - they maximise the claim; we make its cash arrive when the business needs it.
The zero-fee promise
Most UK brokers charge 1–1.5% of the loan as their fee. Money Pilot charges zero broker fees - we are paid by the lender, our whole-of-market comparison across 200+ specialist UK lenders stays free to you, and Miranda Khadr’s team is directly FCA regulated (FRN: 968705).
Unit 1, Verney House 1B Hollywood Road, London SW10 9HS
Opening Times: 9am - 6pm, Mon - Fri
Company Registration No. 13621432
We use cookies to improve your experience, provide live support, and analyse site traffic. By clicking "Accept All", you consent to our use of cookies.
Cookie Preferences
Select which cookies you want to accept. Essential cookies cannot be disabled.
Required for the website to function securely and save your preferences.
Enables our live chat support (HubSpot) and remembers your session state.
Allows us to measure traffic and see how visitors use the site via Google Analytics.
Used to deliver and track personalized advertisements via Google Ads and Meta.
