In the 2023 Spring Budget, the Government announced that from April 2023 until the end of March 2026, companies can claim 100% capital allowances on qualifying plant and machinery investments.
Full expensing allows companies to write off the cost of investment in one go. Under full expensing, for every pound a company invests, their taxes are cut by up to 25p. The Government have said this new measure will ensure that the UK’s capital allowances regime is world-leading.
As a result of measures announced at this Budget, businesses will now benefit from:
- Full expensing – which offers 100% first-year relief to companies on qualifying new main rate plant and machinery investments from 1 April 2023 until 31 March 2026
- The 50% first-year allowance (FYA) for expenditure by companies on new special rate (including long life) assets until 31 March 2026
- The Annual Investment Allowance (AIA) providing 100% first-year relief for plant and machinery investments up to £1 million, which is available for all businesses including unincorporated businesses and most partnerships.
This new benefit replaces the 130% super tax deduction and is a great opportunity for businesses to invest in new plant machinery to secure their future success. As a full turnkey systems integrator CKF can do a complete, no obligation analysis to identify the right solution for prospective customers to ensure they are utilising the latest technology to its best advantage for their business.
CKF will fully design, manufacture and install the solution to the highest standard and offer ongoing support and training.
Get in touch today to find out how CKF can work with you to ensure your operations are more agile, productive, safer and cost effective www.ckf.co.uk / info@ckf.co.uk / +44 (0)1452 728753
For the full policy paper please visit https://www.gov.uk/government/publications/full-expensing/spring-budget-2023-full-expensing