R&D tax credit increase hailed as 'pro-investment and pro-innovation' 

Increases in research and development (R&D) tax credits in Budget 2026 have been welcomed as "pro-investment and pro-innovation". 

Increases in research and development (R&D) tax credits in Budget 2026 have been welcomed as "pro-investment and pro-innovation". 

The R&D tax credit will increase from 30% to 35%. The tax credits can act as a catalyst for growth, enabling businesses to increase capacity, invest in new technologies, build expert teams, and become more competitive, said John Cuddigan, head of RDJ's tax practice.