What are the current HMRC R&D tax credit challenges affecting drinks producers, and how should claims be approached?

HMRC is significantly tightening R&D tax credit scrutiny across the drinks industry, with multiple members reporting rejections and disputes. This represents a marked policy shift without clear communication from HMRC about new criteria.

**Current situation:** - Several recent claims have been rejected or are under dispute with HMRC (timelines extending 8+ months) - Members report feeling the tightening is particularly harsh on craft spirits and small producers - HMRC appears to be on a cash-recoupment mission, creating potential solvency risks for affected companies - Rejections are happening even on claims members felt were legitimate

**Recommended approach:** - **MSC R&D Ltd** — Members recommend contacting Rufus Meakin (rufusmeakin@mscrnd.com, +44 114 230 8401 / +44 7941 103 285) at this specialist firm. They are noted as "very knowledgeable" and publish regular LinkedIn newsletters on R&D compliance trends - Consider engaging specialist support *before* submission rather than attempting claims independently, given current HMRC climate - Stay informed on policy changes via industry advisors' newsletters, as HMRC is not proactively communicating its tightened position

**Caveats:** - This is a rapidly evolving area; claims previously accepted may now face challenge - Some members have chosen to abandon problematic claims rather than dispute them - Small producers and craft spirits appear to face particular scrutiny