HMRC R&D Relief 202620% Merged RDEC Rate27% ERIS Intensive SME
R&D Tax Credit Merged RDEC & ERIS Guide
Calculate R&D Tax Relief under the new Merged RDEC Scheme (20%) and ERIS intensive SME scheme (27%) following the April 2024 merger of all prior R&D relief schemes.
R&D Expenditure Credit Estimator
Compute gross and net R&D tax credit under Merged RDEC or ERIS scheme
£
R&D Tax Credit Result:
R&D Spend
£200,000
Qualifying CostsGross Credit (27%)
£54,000
Enhanced R&D Intensive Support (ERIS) — 27%Net Benefit (after CT)
£40,500
Cash BenefitR&D Scheme Comparison (2025/2026)
| Scheme | Expenditure Credit Rate | Who Qualifies |
|---|---|---|
| Merged RDEC (Standard) | 20% Expenditure Credit | All companies (from April 2024) |
| ERIS (Intensive SME) | 27% Expenditure Credit | Loss-making SMEs with R&D ≥ 30% of total spend |
Frequently Asked Questions (FAQs)
From 1 April 2024, the old separate SME and RDEC schemes merged into a single Merged RDEC Scheme offering a 20% expenditure credit. R&D-intensive loss-making SMEs can claim 27% under ERIS.
The Merged RDEC Scheme provides a 20% above-the-line tax credit on qualifying R&D expenditure for all companies.
ERIS provides a 27% expenditure credit for loss-making SMEs where R&D expenditure represents at least 30% of total company expenditure.
Qualifying R&D costs include staffing costs (salaries, NIC, pensions), consumables, software licences, subcontracted R&D, and utilities directly attributed to R&D project activities.
R&D relief is claimed on your Company Tax Return (CT600) along with a detailed R&D report. HMRC also requires an Additional Information Form (AIF) submitted before the CT600.