R&D Tax Credits For The Textiles Industry
Get the sector experience you need to make a successful R&D tax relief claim
QLC helps textiles companies accelerate their R&D claims with our streamlined portal and expert team.
Our textiles sector experience
With years of expertise in textiles R&D tax relief, QLC understands the complexities of your industry.
Whether you're innovating fabric production processes, developing advanced materials, or implementing sustainable technologies, we’ve supported textile companies of all sizes in claiming millions through R&D tax credits.
Trust QLC to help your business unlock the benefits you deserve.
How much could you claim?
The average R&D tax claim for an SME
For your own quick estimate, you can use our easy-to-use R&D tax calculator:
£ 55 k
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What Our Clients Say About Us
"I am really impressed with the efficiency of your work, and the results you got for our company. A very friendly, committed and obviously hardworking team. You made the whole process very easy."
Will Tompkins (Director)
Vintage and Classic Cars
"QLC successfully claimed credits for the past 2 financial years, this year was even better. They managed the application and claimed the R&D credit prior to our annual tax bill, making the whole process quicker, easier and more efficient than last year."
Andrew Forbes (Director)
Architecture
"A massive thanks to all your team, obviously with the current situation, this money couldn’t have come at a better time."
Ian Cooke (Director)
Engineering
"From our experience we have always found QLC to be efficient and thorough in their tax appraisals, carefully guiding us through the often complex process. They have a very approachable team, all of which have been able to offer excellent advice when needed."
Ben Reed (Director)
Architecture
"They are proactive and efficient in performing their service and I have been impressed by their dynamism."
Chris Wright (Director)
Motorsport Engineering
"Your company did exactly what you said it would do. It took far less time than the other company that we had used in the past. We are extremely pleased with the outcome."
Adrian Smith (Company Sec)
Manufacturing Firm
"I am really impressed with the efficiency of your work, and the results you got for our company. A very friendly, committed and obviously hardworking team. You made the whole process very easy."
Will Tompkins (Director)
Vintage and Classic Cars
"QLC successfully claimed credits for the past 2 financial years, this year was even better. They managed the application and claimed the R&D credit prior to our annual tax bill, making the whole process quicker, easier and more efficient than last year."
Andrew Forbes (Director)
Architecture
"A massive thanks to all your team, obviously with the current situation, this money couldn’t have come at a better time."
Ian Cooke (Director)
Engineering
"From our experience we have always found QLC to be efficient and thorough in their tax appraisals, carefully guiding us through the often complex process. They have a very approachable team, all of which have been able to offer excellent advice when needed."
Ben Reed (Director)
Architecture
"They are proactive and efficient in performing their service and I have been impressed by their dynamism."
Chris Wright (Director)
Motorsport Engineering
"Your company did exactly what you said it would do. It took far less time than the other company that we had used in the past. We are extremely pleased with the outcome."
Adrian Smith (Company Sec)
Manufacturing Firm
Common R&D activities in the textiles sector
Below is a comprehensive list of R&D activities in the textiles industry that may be eligible for R&D tax relief in the UK.
Product development
Designing and developing new textiles or fabrics with unique properties (e.g., waterproof, fire-resistant, or antimicrobial).
Experimenting with innovative dyeing techniques to achieve better colour fastness or reduce environmental impact.
Developing textiles with embedded technology, such as smart fabrics or wearable tech.
Creating fabrics for specific applications, such as sportswear, medical textiles, or aerospace materials.
Improving the durability, elasticity, or comfort of existing fabrics.
Materials research and development
Researching and testing sustainable materials, such as bio-based or recycled fibres.
Developing high-performance materials like carbon fibre composites or nanotechnology-enhanced fabrics.
Creating tools for automated decision-making and data insights.
Enhancing material properties, such as UV resistance, moisture-wicking, or insulation.
Process innovation
Improving weaving, knitting, or spinning techniques to increase efficiency or reduce waste.
Developing automated systems for fabric cutting, stitching, or finishing.
Innovating dyeing and printing processes to reduce water and energy consumption.
Implementing new methods to minimise fabric shrinkage or distortion during manufacturing.
Enhancing production workflows to integrate Industry 4.0 technologies.
Sustainability and environmental impact
Developing eco-friendly dyeing and finishing processes with reduced chemical usage.
Researching biodegradable or recyclable alternatives to synthetic fabrics.
Creating processes to upcycle textile waste into usable products.
Innovating energy-efficient methods for textile manufacturing.
Exploring waterless dyeing or other green technologies.
Smart textiles and wearable technology
Embedding sensors or conductive threads in fabrics for medical monitoring or performance tracking.
Developing energy-generating fabrics using piezoelectric or thermoelectric materials.
Creating textiles with integrated communication technologies for military or industrial use.
Researching and testing self-healing or shape-shifting fabrics.
Advanced manufacturing techniques
Implementing 3D weaving or knitting technologies.
Developing laser cutting or ultrasonic bonding techniques for precise textile assembly.
Experimenting with robotic automation for high-precision sewing or embroidery.
Innovating additive manufacturing (3D printing) processes for textiles.
Innovating tokenisation platforms or decentralised finance (DeFi) tools.
Functional testing and validation
Conducting rigorous testing to ensure fabrics meet specific performance criteria, such as tensile strength, abrasion resistance, or fire retardancy.
Developing in-house tools for advanced testing and monitoring of textile properties.
Testing fabric behaviour under extreme conditions (e.g., heat, cold, or high-stress environments).
Coatings and finishes
Innovating new coatings for textiles, such as anti-bacterial, anti-static, or stain-resistant finishes.
Developing processes for applying finishes that improve the longevity or aesthetic appeal of textiles.
Experimenting with advanced laminations to create multi-functional fabrics.
Building security frameworks for IoT networks.
Researching haptic feedback technologies to enhance user experiences.
Digitalisation and software development
Creating CAD tools for textile design and simulation.
Developing software for automated pattern generation or production planning.
Innovating e-commerce platforms with AR/VR features for fabric visualisation.
Implementing digital twins or virtual prototyping for textile manufacturing.
Optimising manufacturing processes for advanced electronics.
Other activities
Regulatory compliance and certification
- Researching and developing processes to meet industry standards like OEKO-TEX, REACH, or GOTS.
- Testing textiles for compliance with health, safety, or environmental regulations.
- Innovating methods to certify products for specific markets, such as medical or aerospace industries.
Emerging technologies
- Exploring the use of nanotechnology for creating water-repellent or odor-resistant textiles.
- Investigating the potential of AI and machine learning for predictive quality control.
- Using blockchain for supply chain transparency and tracking of sustainable practices.
- Researching and testing the integration of quantum dots for advanced textile properties.
Recycling and circular economy
- Developing processes for recycling mixed fibre textiles.
- Innovating methods to create high-quality fabrics from post-consumer waste.
- Researching systems to close the loop in textile production and reduce landfill contributions.
Why choose QLC?
QLC and our portal help businesses like yours claim R&D tax credits and tax relief faster and more successfully than ever.
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Faster payouts than our competitors
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Textiles sector R&D tax credit FAQ
What activities in the textiles sector qualify for R&D tax relief?
Qualifying activities include:
- Developing new fabrics or improving existing ones (e.g., fire-resistant, waterproof, antimicrobial).
- Researching and testing sustainable or recycled materials.
- Innovating manufacturing processes, such as weaving, dyeing, or printing.
- Creating smart textiles or fabrics with embedded technology.
- Enhancing material properties like durability, elasticity, or insulation.
Can routine production activities qualify for R&D tax relief?
No, routine production, scaling up, or standard quality control do not qualify. Only activities aimed at solving scientific or technological challenges are eligible.
Do sustainability-focused projects qualify for R&D tax relief?
Yes, projects aimed at reducing environmental impact, such as developing biodegradable materials or eco-friendly dyeing processes, often qualify if they involve technical uncertainties.
Does developing tools for regulatory compliance qualify?
Yes, if the work involves solving technical challenges, such as developing encryption tools for data security or creating automated compliance monitoring systems.
Does developing products for specific industries qualify?
Absolutely. For example:
- Medical textiles (e.g., antimicrobial fabrics).
- Aerospace materials (e.g., lightweight composites).
- Sportswear (e.g., moisture-wicking or UV-resistant fabrics).
Form Title
What costs can textiles companies include in their R&D claims?
Eligible costs include:
- Salaries and NICs for staff directly involved in R&D.
- Materials and consumables used in prototyping and testing.
- Subcontractor costs (up to 65% of the eligible amount).
- Software licenses for design and simulation tools.
- Utilities like electricity and water, directly used in R&D activities.
Can we claim for equipment costs?
Equipment used exclusively for R&D activities may be eligible, but capital expenditure itself is typically not included in the tax credit calculation.
Are subcontractor costs eligible for R&D tax relief?
Yes, up to 65% of the costs for subcontractors working on qualifying R&D activities can be claimed.
Can we claim for training costs for employees involved in R&D?
Training costs themselves are not eligible, but the time employees spend applying that training to R&D activities is.
Are costs for regulatory testing and certifications eligible?
Yes, as long as the testing addresses technical uncertainties or validates innovative processes or products.
What documentation is required for an R&D tax relief claim?
Essential documentation includes:
- Project reports detailing technical challenges and uncertainties addressed.
- Records of staff time spent on R&D.
- Financial records for eligible expenditures (e.g., payroll, material invoices, subcontractor costs).
- Evidence of prototypes, testing outcomes, or experimental results.
Do we need to submit detailed technical reports?
- The problem you aimed to solve.
- Why existing solutions were inadequate.
- How your work advanced technology or addressed uncertainties.
Do sustainability-focused textiles projects qualify for R&D tax relief?
Yes, projects developing eco-friendly processes, materials, or recycling methods often qualify, especially if they address technical challenges.
Are smart textiles and wearable technology projects eligible?
Does automating textile manufacturing processes qualify?
Yes, innovations in automation, robotics, or AI to enhance efficiency or reduce waste often qualify for R&D tax relief.
Does migrating to new platforms or systems qualify as R&D?
Only if the migration involves solving technical uncertainties, such as ensuring compatibility or optimising performance.
Many architecture companies work with specialist advisors like us to ensure they maximise their claims and comply with HMRC’s requirements. Why not get in touch or start a trial of our R&D tax claim portal?