Income Taxes (Tables)

12 Months Ended

Dec. 31, 2024

Income Tax Disclosure [Abstract]

Schedule of loss before income taxes

Loss before income before income taxes are as follows (in thousands):

	Year ended December 31, 2024		Year ended December 31, 2023
United Kingdom	$	(27,510)	$	(50,534)
United States	(32,833)		(24,507)
Other foreign	(884)		(1,481)
Loss before income taxes	$	(61,227)	$	(76,522)

Summary of components of income tax benefit (expense)

The components of income tax benefit are as follows (in thousands):

	Year ended December 31, 2024		Year ended December 31, 2023
Current income tax benefit/(expense):
United States	$	(70)	$	(28)
Other Foreign	(22)		(45)
Deferred income tax benefit:
United States	136		3,148
Total income tax benefit	$	44	$	3,075

Reconciliation to the effective tax rate

A reconciliation of the U.K. statutory income tax rate to the Company's effective tax rate as reflected in the consolidated financial statements is as follows:

	Year ended December 31, 2024		Year ended December 31, 2023
Statutory tax rate	25.00	%	23.52	%
Increase (decreases) resulting from:
Permanent differences	(4.82)		1.03
Provision to return adjustments	(4.55)		(4.09)
Research and development credits	(5.75)		(4.94)
Foreign rate differential	1.18		1.23
Change in valuation allowance	(9.99)		(11.84)
Share based compensation	(1.00)		(0.84)
Effective tax rate	0.07	%	4.07	%

Summary of significant components of deferred tax assets and liabilities

Significant components of the Company’s deferred tax assets and liabilities are as follows (in thousands):

	December 31, 2024		December 31, 2023
Deferred tax assets:
Net operating loss carryforwards	$	26,040	$	23,589
Research and development credit carryforwards	47		40
Share based compensation	4,753		4,226
Lease liability	3,156		3,404
Intangible assets	452		745
Capitalized Research and Development expenditure	6,185		4,228
Other	10		1
Gross deferred tax asset	40,643		36,233
Valuation allowance	(30,830)		(25,057)
Net deferred tax assets	9,813		11,176
Deferred tax liabilities:
Depreciation	(1,815)		(1,652)
Right-of-use lease asset	(1,149)		(1,922)
Undistributed earnings of subsidiaries	(1,248)		(1,267)
Intangible assets	(6,039)		(6,909)
Net deferred tax liabilities	(10,251)		(11,750)
Total deferred tax, net	$	(438)	$	(574)

Summary of changes in the valuation allowance for deferred tax assets

Changes in the valuation allowance for deferred tax assets during the years ended December 31, 2024 and 2023 related primarily to the increase in net operating loss and credit carryforwards, and were as follows:

	Year ended December 31, 2024		Year ended December 31, 2023
Valuations allowance at beginning of year	$	25,057	$	13,707
Changes in valuation allowance arising from in-year additions	—		1,052
Increases recorded to income tax provision	6,123		9,605
Foreign exchange translation	(350)		693
Valuation allowance at end of year	$	30,830	$	25,057