In 2010 the government created a number of new style Enterprise Zones in a number of designated areas to stimulate the growth of business. Companies that invest in these zones receive a number of benefits including, superfast broadband, simplified planning regime, business rate discounts and generous capital allowances benefits.

In order to claim, the business must be a UK corporation tax paying company. Sole traders, partnerships and corporate partnerships are not eligible for relief.

Perhaps unhelpfully, these allowances are also known as Enhanced Capital Allowances and like the similarly named allowance for energy and water saving technologies, they also give a first year allowance of 100% of qualifying expenditure to companies investing in plant or machinery in designated enhanced capital allowance (ECA) sites in Enterprise Zones.

The relief is available until 31 March 2020.