Manufacturing

Manufacturing is among the most capital-intensive sectors in the economy, and that intensity sits at the heart of its tax profile. Significant investment in plant, machinery and premises, genuine research and development on the factory floor, and increasingly complex domestic and overseas supply chains all create both substantial liabilities and valuable reliefs that are easily overlooked. The landscape has shifted materially in recent years: the move to the merged R&D credit scheme, the introduction of full expensing and successive changes to capital allowance rates have together rewritten how capital expenditure is taxed, making considered planning more important now than it has ever been. The opportunity, and the risk, is that R&D activity and capital investment are frequently treated in isolation when in practice they interact closely, and value is lost when the link between them is missed. We work with manufacturers to bring these threads together, ensuring that qualifying expenditure is properly identified, claims are robust enough to withstand HMRC scrutiny, and the structure of the business supports rather than hinders its growth. From single-site owner managed businesses to multi-site groups with overseas operations, our aim is to align the tax position with the realities of the capital cycle.