How to Claim R&D Tax Credits for Kitchen Appliance Manufacturing Businesses in the UK

Published by Nida Umair posted in Kitchen Appliance Brands, Research And Development (R&D) on November 11, 2025

UK kitchen appliance manufacturers are innovating faster than ever, from AI-enabled dishwashers to energy-efficient ovens. As smart technology and sustainability shape design priorities, tax reliefs play a critical role in development and manufacturing. R&D tax credits for kitchen appliance manufacturing businesses allow companies to reclaim a portion of the costs spent on developing new products, processes, or technologies and fund further innovation.

At Apex Accountants, we support appliance manufacturers, retailers, and technology developers across the UK to claim tax incentives for innovation in kitchen appliances, improve cash flow, and fuel growth.

R&D Tax Credits for Kitchen Appliance Manufacturing Businesses: What Makes a Project Eligible?

R&D tax relief is a government initiative designed to support businesses developing new products, materials, or technologies. It allows companies to either:

  • Reduce their corporation tax bill, or
  • Receive a payable cash credit if they operate at a loss.

Kitchen appliance businesses may qualify if their projects aim to advance knowledge or overcome technical challenges, for example:

  • Creating energy-efficient or low-emission appliances often qualifies for R&D relief for sustainable appliance manufacturers under HMRC’s updated 2026 criteria.
  • Integrating AI or Internet-of-Things (IoT) features.
  • Using recycled materials or developing sustainable production processes.
  • Improving automation or robotics in manufacturing.

Updated R&D Tax Relief Rules for Kitchen Appliance Brands

  • Unified Claim System: From April 2024, the SME and RDEC schemes merged into one system. Most kitchen appliance manufacturers now claim under unified rules.
  • Credit Rates for SMEs: R&D-intensive SMEs spending 30% or more on R&D can claim a 14.5% payable credit. The super-deduction rate dropped from 130% to 86%. Non-R&D-intensive loss-making SMEs get around 10%. 
  • Domestic Subcontracting Rule: Only UK-based subcontracted R&D work qualifies. This encourages innovation within the UK and limits overseas claims. 
  • Mandatory Digital Filing: All claims must be filed digitally with the CT600 return. A detailed technical report explaining objectives, challenges, and outcomes is now required.
  • Increased HMRC Scrutiny: HMRC’s Anti-Abuse Unit has expanded reviews. Businesses must keep full technical records and evidence to defend claims. 

Kitchen appliance brands can recover qualifying costs, for R&D activities, including:

  • Staff wages, National Insurance, and pension contributions.
  • Materials and consumables used in prototype testing.
  • Software, cloud computing, and data licences.
  • Subcontractor and freelancer costs (UK-based only).
  • Utilities are directly used for R&D work.

Even if a project fails to achieve its intended results, it may still qualify if it involves genuine research and development (R&D) activity. Apex Accountants help businesses claim R&D tax relief for innovation in kitchen appliances, supporting responsible growth across the UK.

Case Study: Apex Accountants Helped A Client Claim R&D Relief For Sustainable Appliance Manufacturers

A UK kitchen appliance manufacturer developing energy-efficient smart products approached Apex Accountants for R&D tax relief support. The company had invested in IoT technology and sustainable design but was unsure which expenses met HMRC’s R&D criteria.

After a detailed review, we identified eligible costs linked to software development and prototype testing. The approved claim brought in valuable tax savings, which the business used to improve its smart appliance range. The company now works with Apex Accountants for regular R&D reviews to keep future claims accurate and compliant.

Why UK Appliance Manufacturers Choose Apex Accountants

At Apex Accountants, our R&D specialists combine tax expertise with sector insight to deliver accurate and compliant claims. We:

  • Identify qualifying projects in your innovation pipeline.
  • Quantify eligible costs precisely.
  • Draft and file technical and financial reports that meet HMRC standards.
  • Provide post-claim support for HMRC enquiries.

The 2026 financial year will reward appliance brands that align innovation with strong documentation. Whether developing sustainable appliances or next-generation smart features, Apex Accountants can help you claim R&D relief and craft a strategy that turns innovation into financial success.

Contact Apex Accountants today to receive expert advice and professional direction on how to grow your kitchen appliance brand. 

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