| The ECAs scheme allows businesses to write off 100% of the cost of qualifying plant and machinery assets against their taxable profits in the period in which the assets are acquired. Only specific assets included on a published list qualify for ECAs, and the Budget announces several changes to the assets included on that list. Most businesses are unlikely to be affected by the changes to the ECAs; 100% tax relief is currently already available for the first £250,000 of expenditure on plant and machinery in a year under the Annual Investment Allowance, so in most cases ECAs will only need to be claimed for capital expenditure exceeding this figure. |