R&D only applies to developing new products or services.
New product or service developments are the most common forms of R&D we see claimed for, but they aren’t the only way to make a claim.
Firstly, R&D can also be applied to your internal processes. So if you’ve developed a new and more efficient way to produce your product or service, then you might be able to make a claim on that process improvement.
Secondly, your product development doesn’t need to result in a new product. You can also aim to improve an existing product, and that would also qualify as R&D.
As HMRC clearly states: “Your project may research or develop a new process, product or service or improve on an existing one.”