Financial Director Andrew Millington investigates how businesses can utilise tax relief incentives to future-proof their assets and operations and looks at the importance of balance sheet protection following on from a capital expenditure project leveraging the 100% expensing incentives.
Senior Consultant Tom Leach looks at innovational industrial strategy and effective Asset Management and how Finch Consulting can assist businesses through Technical Due Diligence audits on new equipment and systems to ensure the longevity of machinery.
With the recent announcement by the Chancellor that full expensing is here to stay for a while longer, businesses will be looking to bolster their infrastructure as the UK continues to work towards growing the economy and building a more sustainable United Kingdom.
The 100% expensing allows businesses to claim up to 100% of any capital investment in plant and machinery. In addition to this, businesses can also claim 25% back in corporation tax for any investment into their IT, machinery, or equipment. The time has never been better to grow and future-proof your business.
With the continued instability around the energy market and the latest price cap ending in January 2024, many organisations are striving towards Net Zero, looking to achieve both a reduction in carbon emissions and financial security by removing some reliance on variable energy tariffs.
While the taxation break allows for large capital investment in infrastructure equipment such as Solar PV, Solar Thermal and Air Source Heat Pumps, businesses can also look to improve the efficiency and resilience of their process machinery. With some heavy industries still operating inefficient heritage electromagnetic motors and energy-intensive systems, the time has never been better to get ahead of the curve and gain control of your equipment.
Ensuring that new equipment is fit for purpose and suitable for application is a vital part of any CAPEX project, not only to ensure that the equipment delivers a sound return on investment but also ensuring that the equipment is safe, compliant, adopted effectively by the workforce and adhering to UK legislative requirements.