UK government outlines extra £2.3bn R&D investment
The UK government will make an extra investment of £2.3 billion ($3 billion) in research and development (R&D) in 2021/22, increasing total public investment in R&D to £12.5 billion that year.
Yesterday, November 20, the UK Prime Minister’s office announced the commitment to R&D, ahead of the Autumn Budget, which will be announced tomorrow, November 22.
The government will work with industry to boost spending on R&D to 2.4% of gross domestic product (GDP) by 2027.
This could increase public and private R&D investment by as much as £80 billion over the next ten years.
“The UK will see its biggest-ever increase in research and development investment,” said the government.
Greg Clark, the business secretary, explained: “Through our industrial strategy we are committed to building a knowledge and innovation-led economy, and this increase in R&D investment, to 2.4% of GDP, is a landmark moment for the country.”
UK Prime Minister Theresa May said, when writing in The Times newspaper, that one of her first actions in her role had been to begin the development of a modern industrial strategy.
“Our industrial strategy will propel Britain to global leadership of the industries of the future, seizing the big opportunities of our time—from artificial intelligence (AI) and big data to clean energy and self-driving vehicles,” said May.
In March, WIPR reported on the UK’s Spring Budget for 2017. Lawyers welcomed the announcement that the UK government would introduce a £270 million fund to support research and innovation across the country.
The Industrial Strategy Challenge Fund will focus on leading world development in the design and manufacture of batteries that will power the “next generation” of electric vehicles, along with developing AI and robotic systems.
Sally Shorthose, partner at Bird & Bird, said: “Industries which are underpinned by R&D are eagerly anticipating the government’s confirmation of its previous statements, made as part of the industrial strategy, that substantial investment will be made to support R&D and the surrounding infrastructure, in order to protect the UK’s pre-eminent position in industries such as the life sciences, automotive and high-tech.”
She added that the investment goes some way to counter the “inevitable loss of EU funding” post-Brexit.
Sister site LSIPR reported today that the European Medicines Agency, which is responsible for the protection of public and animal health through the scientific evaluation and supervision of medicines, will be relocating from London to Amsterdam because of Brexit.
“It is hoped that, together with hopefully more concrete proposals regarding the residency status of key workers, the UK will continue to attract the best talent to its universities and industry alike,” concluded Shorthose.
Glyn Truscott, partner at Elkington and Fife, said: “This is welcome news, both in terms of the significant sums of money made available to support R&D and in the government’s continued commitment to attract the brightest and best talent to the UK.”
Truscott added that the UK’s success at “generating new technologies and developing them into sustainable world-class businesses has always been built on a combination of talent and investment”, and that he was pleased to see a firm commitment for this to continue.
Did you enjoy reading this story? Sign up to our free daily newsletters and get stories like this sent straight to your inbox.
Today’s top stories:
UK patent fees set to rise in 2018
Copyright dispute over David Bowie image settled
Baker Botts announces three IP promotions for 2018
Gucci doesn’t own monopoly on coloured stripes, claims Forever 21
