- The government's £650m package includes plans to relaunch the Academic Health Science Network as Health Innovation Networks. This initiative aims to boost innovation by bringing together the NHS, local communities, charities, academia, and industry to share best practices.
- To enhance the UK's health resilience, the manufacturing arm of the life sciences sector will receive a funding boost. Three new funding sources have been allocated to support this effort. A Biomanufacturing Fund worth up to £38m will incentivize investment and strengthen the country's resilience to future pandemics through a competitive grant distribution process. Additionally, £6.5m in new funding, combined with funding from Innovate UK, will ensure that the Life Sciences sector has the necessary skilled workforce. Moreover, £10m in new funding has been allocated for projects aimed at driving innovation in cutting-edge medicine manufacturing, including advancements in vaccine development.
- The Life Sciences sector is a crucial driver of UK growth, contributing over £94bn to the economy in 2021, representing a 9% increase from the previous year. Recognising its significance, the Chancellor has prioritized this sector, ensuring that regulations support innovation, government funding targets vital projects, and investments are diversified. These efforts are aligned with the Science and Technology framework, which involves regulatory reforms, increased investment, and the development of talent and skills.
Commenting, Jo Churchill MP said:
This transformative package delivers faster access to life-saving treatments, bolsters our readiness for health emergencies, expands research capabilities, and drives investment in our local economy.
The inclusion of HealthTech initiatives within this package opens up new avenues for innovation and advancements in healthcare technology. This means patients will benefit from cutting-edge technologies that improve diagnostics, treatment, and overall patient care.
I am particularly excited about the opportunities this presents for the new Bury St Edmunds hospital, which will now benefit from enhanced research capabilities, access to innovative therapies, and increased investment.
Health and Social Care Secretary Steve Barclay said:
This investment is another significant step in harnessing UK innovation to help cut waiting lists - one of the government’s five priorities - and build a stronger NHS.
We will take forward Lord O’Shaughnessy’s recommendations to speed up the delivery of clinical trials and boost patient involvement in research, so people getting NHS care can benefit from cutting-edge treatments faster, supported by £121 million in government funding.
We’re also accelerating research into mental health, backed by over £42 million of investment in clinical research centres across the UK – including in Birmingham and Liverpool - to improve the speed and accuracy of diagnosis and increase the use of technology for treatment.
Steve Bates OBE, CEO of Bioindustry Association, said:
Today’s package of support for the UK life sciences sector will help address fundamental challenges large and small companies in our industry face as they look to invest and grow in the UK.
We welcome today’s initiatives, including those that will improve access to finance for start-ups and scale-ups, and to create a pro-innovation regulatory environment. These positive steps will put us on the front-foot in the global race to develop and manufacture the next generation of medicines and technologies, underpinning our economic growth and better health for years to come.
Richard Torbett, Chief Executive, Association of the British Pharmaceutical Industry (ABPI), said:
Today’s announcements show that the government recognises the huge opportunity waiting to be grasped if the UK can unlock the economic potential of its life science industry – already worth £94.2bn in 2021. These measures demonstrate the government has listened to industry and will help put the UK on track to meeting its life science vision.
Lord O’Shaughnessy is right that making the UK an attractive destination for industry clinical trials requires regulatory reform, speedier study set-up and approvals, and improved access to data. Implementing his proposals, alongside these other announcements, can be a springboard to delivering on the UK’s ambition to be a science superpower, and we now must press forward with delivery at pace.
However, improving research is only one part of the equation. To get innovative medicines to patients and fully capture the growth opportunity, we must also fix the commercial environment, and for that, we also look forward to agreeing with Government to a new and improved Voluntary Scheme as soon as possible.
Association of British HealthTech Industries (ABHI) CEO, Peter Ellingworth said:
Today’s range of announcements and their emphasis on HealthTech are very welcome. I am pleased to see that the contribution of our industry has been acknowledged in each of them.
Critical for the continued supply of technology to NHS patients and the competitiveness of our country, will be the approach taken to the regulation of medical devices and diagnostics. This was recognised last year by the Life Sciences Council and led to the creation of an Advisory Group. Today builds on that group’s aligned proposals published in March, and the Chancellor’s ambition for the recognition of approvals from other, trusted jurisdictions.
Collectively, this package represents significant progress to create a system that values innovation and affords our citizens safe, timely access to life saving and enhancing technology.
We look forward to continuing to support the work of the LSC Advisory Group, and helping to deliver the recommendations of the Pro-Innovation Regulation of Technologies Review, through initiatives such as secondments to a Regulator with an enhanced and welcome focus on HealthTech.
