Asked by: Jamie Wallis (Conservative - Bridgend)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment his Department has made of the potential merits of expanding research and development tax relief to include capital equipment relating to industrial decarbonisation.
Answered by Victoria Atkins - Secretary of State for Health and Social Care
The Government provides a Research & Development Allowance (RDA) which gives relief for capital expenditure on R&D incurred by a trader. This includes plant, machinery and buildings used for R&D activity.
In 2021, the Government previously consulted on targeting the R&D tax reliefs towards R&D with specific social value, for example green technology. It was noted that differentiated tax relief for specific R&D would increase complexity and compliance costs, widen the scope for abuse, and could be less effective than direct government spending.
Asked by: Jamie Wallis (Conservative - Bridgend)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent progress he has made on implementing the recommendations in Sir Patrick Vallance’s Pro-innovation Regulation of Technologies Review: Digital Technologies report, published on 15 March 2023.
Answered by Gareth Davies - Exchequer Secretary (HM Treasury)
The Pro-innovation Regulation of Technologies Review is working closely with industry to identify barriers to innovation and getting emerging technologies to market. The Review has now published reports on Green Industries, Life Sciences and Creative Industries, as well as Digital Technologies.
The government is moving quickly to implement the recommendations from the Digital Technologies report. For example, the government outlined four options for an AI Sandbox in the AI Regulation White Paper and will provide further detail in the forthcoming response to the White Paper consultation. The government is also working with the Intellectual Property Office and industry to develop a Code of Practice on copyright and AI, with the aim of publishing a draft before summer Parliamentary recess. On the review of the Computer Misuse Act, we have created a multistakeholder group including representatives from the cybersecurity industry and system owners’ to consider these issues, and reach a consensus on the best way forward.