Yes, assuming qualifying activities are being undertaken. Payments to subcontractors can be included.
You can claim up to 65% of the qualifying costs if the third party is not connected to your company.
The work you have subcontracted out need not be classified as R&D in its own right but should form part of a larger project that is considered to be R&D.
Currently there is no requirement for the subcontractors to be UK resident or carry out the work in the UK however for accounting periods starting on or after 1st April 2024 this will change.
The government intends to limit relief for subcontracted activities to those that take place in the UK only. This will apply to Externally Provided Workers (agency workers) as well. There will be some very narrow exceptions to this and therefore please speak to an advisor as soon as possible to find out how these rule changes will affect your claim.
For claims made under the RDEC scheme, subcontractors must be individuals or qualifying bodies to be eligible, i.e. not Limited Companies.