Research & Development – Enquiry closed for client in the manufacturing industry

The Issue

An intermediary of Blick Rothenberg introduced the client to us in October 2024. They had received an enquiry for two R&D claim periods and had been in discussions with HMRC since November 2023. The client had been unable to gain meaningful traction with HMRC and were becoming frustrated after a year of no progress.

 The Solution

After speaking with the client initially, our specialised R&D team thoroughly reviewed the original claims, HMRC enquiry letters, and all responses to date to get an understanding of both the validity and strength of the R&D claims, and where any potential areas had been missed in terms of communicating with HMRC effectively.

Our findings were that the R&D claims were technically strong, combined with a detailed methodology for calculating the relevant figures. To date, the information supplied to HMRC had been lengthy and we recognised an opportunity to optimise the communication through concise, clear messaging.

We engaged with HMRC on three separate occasions beginning in November 2024, answering each of their questions in turn. At times, this demanded a firm stance in our approach and reiterating to HMRC that their charter lays out their own expected behaviours that must be adhered to. This included pushing back when we felt that the client’s responses had not been adequately reviewed and not allowing a six-week extension to their response as the client had been denied a two-week extension. Our extensive experience allows us to delicately navigate these situations and confidently support our clients.

The Outcome

In June 2025 the closure notice was received. The client had accidentally included a dataset that should not have been submitted, and therefore the claims were eventually reduced by £2k, however £500k of tax credits were retained by the client. No penalties were levied, and the client was delighted with the result.