To encourage the redevelopment and regeneration of long-term derelict and contaminated land, the Land Remediation Relief Scheme (LRR), introduced in 2001 and providing further updates in 2009, provides a tax incentive for UK tax paying entities looking to develop existing land or acquire new land for future development projects. Land Remediation Relief is also applicable to past projects.
The Land Remediation Relief scheme is designed to promote the clean-up and redevelopment of contaminated land, vacant sites, and derelict properties, helping to revitalise urban areas whilst safeguarding public health and mitigating environmental risks.
£55m+
Unlocked successfully for our clients as either a cash refund, or a reduction in tax to pay
£300m+
Identified eligible client expenditure due to business innovation
1000+
UK clients of all shapes and sizes & spanning across many different sectors
Land Remediation Relief is a form of tax relief that certain businesses can claim for qualifying expenditure spent on cleaning up land/buildings that were acquired in a contaminated state. Land Remediation Relief allows property owners, developers and investors to claim tax relief in all commercial property sectors in which companies are subject to corporation tax.
LRR is a relief from corporation tax only, providing a deduction of 100%, as well as a further deduction of 50% for qualifying expenditure incurred by businesses that clean up land acquired whilst contaminated. It’s also available to property investors and developers, unlike capital allowances.
There are two main ways to claim Land Remediation Relief:
LRR can be extremely beneficial for people working within the property field, providing tangible cash savings for businesses that qualify.
Land Remediation Relief (LRR) is not only available to developers, but also, any business that is subject to corporation tax that has owned the freehold to derelict land and buildings (or leased) for a minimum of 7 years and wishes to improve the land and buildings for the purpose of its business operation.
Naturally, with corporation tax deductions of up to 150%, the popularity of the scheme and the variety of projects is immense.
AGRICULTURE
ASBESTOS
CONSTRUCTION
DEVELOPERS
HOUSE BUILDERS
INDUSTRIAL
OWNER OCCUPIER
If you’ve recently acquired contaminated land and have carried out works to mitigate the risk of harm and pollution, you may be eligible to claim Land Remediation Relief (LRR).
LRR is a powerful tax incentive, and one that can provide a big boost to your budget. However, it can be hard to know where to start – particularly if you’re relatively new to the property industry – this is where the BSE Group comes in.
Let our team discuss your projects & potential eligibility to submit a claim!
Choosing a land remediation specialist company to assist in claiming Land Remediation Relief (LRR) offers numerous advantages.
You can leverage our expertise, experience, and resources to ensure a successful and efficient remediation process. This not only maximizes your Land Remediation Relief claim but also safeguards your project from potential regulatory and financial pitfalls. We know that investing in specialist services is a strategic decision that ultimately saves time, reduces costs, and mitigates risks, enabling you to focus on your core business objectives while contributing to environmental sustainability.
Here are some compelling reasons to engage with us.
Working closely with you and keeping you informed throughout the whole claim process.
To help your business effectively navigate the claim process speedily and efficiently.
We remove the time consuming and complex administrative burden from you and your accountant.
Our specialist knowledge ensures that no claim opportunities are overlooked.
As part of The BSE Group, we offer you a ‘one-stop-shop’ level of access to a broad range of tax incentives - that will greatly strengthen the financial status of your business.
We know how busy you are running your business, so we have a simple process that only requires a couple of hours of your time in total, and then we’ll do all the rest of the work ready for submission alongside your tax return. Let us do the leg work for you.
Fleet Management
Logistics Company
At Land Remediation Specialists Ltd (LRS), we specialise in helping our UK clients maximize their tax relief opportunities through expert guidance and comprehensive support in claiming Land Remediation Relief (LRR). Our dedicated team of tax and environmental experts has a proven track record of securing significant financial benefits for businesses engaged in reclaiming and improving previously contaminated or derelict land.
Land Remediation Relief is a generous tax incentive designed to encourage businesses to clean up and repurpose land that has been adversely affected by industrial activity, pollutants, or long-term neglect. We are proud to have helped our clients successfully claim LRR, which has allowed them to:
It’s important to work out whether the land you’ve acquired is eligible for Land Remediation Relief.
Land/buildings are classed as being within a contaminated state if the contamination arises from industrial activity that:
The term ‘relevant harm’ essentially refers to anything that may cause a significantly adverse effect to animals, humans or buildings placed on the land (which could have a negative impact on the way the building is used).
When applying for Land Remediation Tax Relief, there are certain forms of qualifying expenditure you can claim for.
Qualifying costs for cleaning up contaminated land include:
To find out whether you can claim tax credits for LRR, please speak to our helpful team today.
Another form of tax relief that links to Land Remediation Relief is Derelict Land Relief (DLR). DLR is a form of tax relief first introduced in 2009, with the aim being to encourage prospective buyers to purchase derelict land to restore it back to productive use.
To be eligible, the land must be listed as derelict on the English National Land Use Database since 1st April 1998. You may be able to claim relief on your tax return for the cost of demolishing the derelict property and restoring it to a productive site.
If you’d like to claim Land Remediation Relief on your tax return, several other conditions must be met to ensure you qualify.
For claims in which the buildings on the land are classed as an asset (e.g. if you’re a landlord), you must make your claim in the same tax year that the expenditure occurred. However, in other cases, you’ll usually have a three-year retrospective time period in which to make your claim. Other conditions that must be met to claim Land Remediation Relief are:
Several factors may exclude you from claiming LRR:
If you feel that you meet the criteria for claiming Land Remediation Relief, please reach out to our team and we’ll help you through the process.
CAPITAL ALLOWANCE SPECIALISTS
RESEARCH AND DEVELOPMENT SPECIALISTS
What should you look for from your R&D (Research & Development) Tax Relief provider?
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