U.K. rejects biotech tax breaks

The U.K. Department for Business, Enterprise and Regulatory Reform (BERR) rejected tax breaks and other financial support sought by Britain's biotech industry. BERR will not amend R&D tax credits to cover benefits in kind, payments to self-employed individuals and high quality managers, rent costs, and IP costs. BERR also said it will not extend the tax benefits that are now available to initial investors in biotech companies to also cover secondary purchasers of shares, nor will it provide tax incentives intended to encourage big pharma to invest in biotechnology companies or spin out new ones. Industry's call for an independent inquiry into the National Institute for Health and Clinical Excellence (NICE) was also rejected by the government. The recommendations were made in January by an industry-government group called the Bioscience Innovation and Growth Team (BIGT) (See BioCentury, Jan. 26, 2009). ...