Q: Can other public monies I have secured (InnovateUK, Research Councils, etc) be used to fund my project contribution?
A: No. A key reason for the existence of I4G programme is the encouragement of growth in the West of England economy through private sector investment. As a result, other public monies are not an eiligble form of match funding.
Q: How does a grant under I4G affect de minimis State Aid?
A: I4G falls under a separate EU State Aid mechanism (General Block Exemption Regulation) and does not impact de minimis.
Q: How does a grant under I4G affect my ability to claim the UK government's R&D tax credits?
A: I4G expenditure cannot form part of a claim under the R&D SME tax credit scheme. However, it may potentially be allowable under the 'R&D expenditure credit scheme', giving almost 10% back on qualifying R&D costs in addition to the 35% I4G intervention rate. If you are considering a tax credit claim rather than an I4G grant, please note that different rates are offered depending on whether you are profit or loss making (25% or 33%) and that some costs which are allowed under I4G may be ineligible. We recommend approaching an accountant or other specialist for advice.
Q: Can I use an I4G grant to part fund a capital expenditure project (new property/buildings, etc)?
A: I4G supports R&D projects and any capital purchases need to directly relate to R&D. Land/building purchases are not eligible.
Q: What is the time frame for the due diligence checks and will I be liable for additional costs associated with the process?
A: The time frame is dependent on the type of business and grant size. There are no additional costs associated.
Q: What is the cash flow profile? Will there be an upfront payment and then quarterly reimbursement?
A: Payments are quarterly in arrears. Your quarterly report will include details of costs incurred and associated evidence.
Q: Is there anything I need to be aware of with regard to VAT?
A: If your company is VAT registered the I4G fund will reimburse up to 35% of the net amount you spend.