Summarises the most recent and notable changes to capital allowances, designed to clarify existing legislation and simplify the whole area of capital allowances. Capital allowances are often under-utilised by businesses. Many of the most recent changes occurred as part of the Finance Act 2000, and a new Capital Allowances Consolidation Bill is due to receive Royal Assent in April 2001. Describes how these recent changes will affect large and small occupiers. Changes discussed include: the abolition of the requirement to provide written notification of expenditure; the reintroduction of First Year Allowances; enhanced capital allowances; the new research and development allowances (RDAs); and conversion costs. Warns that in order to benefit from all the capital allowances available, in most design and construction processes action must now be taken at an earlier stage.