techUK, the British trade association for the technology industry, has praised the chancellor’s reforms to R&D tax reliefs outlined in the latest Autumn Budget.

“The Chancellor’s plan to reform the R&D tax credit system to allow businesses to better utilise data and cloud computing services is a major upgrade to the UK’s support for research and development, marking a major step toward boosting UK productivity,” said Julian David, techUK chief executive.

The move, which will take combined public direct and indirect support for R&D to 1.1 per cent of GDP in 2024 to 2025, is designed to better support cutting-edge research methods. The government said that it is increasing public R&D investment to £20 billion over the period.

The government also announced plans to establish a new Advanced Research and Invention Agency (ARIA) with £800 million allocated by 2025-26 (including £50 million from 2021-22), support world-class R&D in the aerospace sector, co-investing with industry, an extension to its long-term commitment to the aerospace sector, guaranteeing funding for the Aerospace Technology Institute (ATI) to 2031, and support priorities agreed by the Prime Minister’s new National Science and Technology Council, such as Quantum Computing, Artificial Intelligence, Bioinformatics and Space technologies.

Richard Petley, senior vice president of Oracle UK, said that the Rishi Sunak’s plan to make Britain the “most exciting place on the planet” is coming to fruition.

“It’s clear, this investment in artificial intelligence is an investment into the future of UK workers, said Petley. “But it’s not just up to the Government, businesses must also prioritise upskilling their workforce and unlocking the true potential of AI. After all, when employees thrive, businesses thrive too.”

Share Story: