Question to the HM Treasury:

To ask the Chancellor of the Exchequer, pursuant to the Answer of 2 April 2025 to Question 41176 on Research: Tax Allowances, if she will publish a breakdown of the data provided for (a) error and (b) fraud.

As with other parts of the tax system, the term ‘error and fraud’ includes this full range of behaviours, from mistakes and failure to take reasonable care, through to deliberate non-compliance.

The Government is committed to further enhancing the administration of R&D tax reliefs. To support this, HMRC published a consultation on 26 March to explore widening the use of advance clearances in the reliefs to help further reduce error and fraud, while also improving the customer experience and providing certainty to businesses.