Simpson Wood Limited Autumn Statement 2022

Energy bill relief scheme (EBRS) The government’s review of the EBRS, which offers support to non-domestic energy consumers currently up to March 2023, will be published by 31 December 2022. The government recognises that some businesses may need support beyond March 2023, but such support will be significantly lower and targeted. Research and development (R&D) tax reliefs For R&D expenditure after 31 March 2023: ■ the R&D expenditure credit rate will increase from 13% to 20%; ■ the small and medium-sized enterprises (SME) additional deduction will decrease from 130% to 86%; and ■ the SME credit rate will decrease from 14.5% to 10%. As announced in the Autumn Budget 2021, qualifying expenditure will be expanded to include data and cloud costs and support will be focused on innovation in the UK. The government will consult on the design of a single R&D tax relief scheme for all businesses. Creative industry tax reliefs The government will consult on proposals to incentivise further the production of culturally British content and to support the growth of the audio-visual sectors. National living wage (NLW) and national minimum wage (NMW) The government has accepted the recommendation of the Low Pay Commission to increase the NLW for individuals aged 23 and over by 9.7% to £10.42 an hour from 1 April 2023. NMW rates for younger workers and apprentices will be increased by similar percentages. First-year allowance for electric vehicle charge points The 100% first-year allowance for electric vehicle charge points will be extended to 31 March 2025 for corporation tax and 5 April 2025 for income tax. 8 AUTUMN STATEMENT l 17 November 2022