Life Sciences
Join our mission to meet the healthcare challenges of today and tomorrow.
The life sciences sector sits at the intersection of healthcare innovation and cutting-edge technologies. It offers immense potential to transform public health, enabling people to live longer, healthier lives and boosting productivity. It does this while driving high-value job creation and attracting significant investment.
The UK’s life sciences sector is built on a strong foundation, with over 6,800 businesses in 2021 to 2022 that generated over £100 billion in turnover. The UK is also home to four of the top 10 global universities for life sciences and medicine, and, with the expertise of the NHS, the UK is a global hub for innovation. This provides broad expertise across all the key subsectors, including MedTech, pharmaceuticals, genomics, diagnostics and digital.
Our Vision
A mission for growth
In 2024 we announced a 10-year plan to support a thriving life sciences sector.
In October 2024, the UK government published the Industrial Strategy Green Paper, the 10-year plan to deliver the certainty and stability businesses need to invest in the high growth sectors that will drive our growth mission, including life sciences. The paper reflects the UK’s commitment to driving economic growth.
In 2021, the UK government’s budget for health R&D was £2.9 billion, (0.13% as a percentage of GDP). This ranked the UK highest out of European comparators for government spending on health research (£2.92bn), and 2nd compared to global comparator countries (only behind the USA). [1] And the government has committed to invest £20 billion in R&D in 2024 to 2025. [2]
[2] https://www.gov.uk/government/publications/uk-science-and-technology-framework/the-uk-science-and-technology-framework
Innovation and R&D
A global hotspot
The UK was ranked 4th globally in the 2023 WIPO Global Innovation Index.
UK scientists continue to be at the forefront of science and discovery, responsible for discovering around 25 per cent of the world’s top 100 prescription medicines and leading the way in COVID-19 vaccines[1].
The UK was ranked 5th globally in the 2024 WIPO Global Innovation Index[2]. And we’re known for producing impactful research in Europe – the UK accounted for 11.5% of the global medical life science academic citations in 2023, ranking 3rd amongst comparator countries (behind the USA and China)[3].
UK researchers and institutions have won over 80 Nobel Prizes for science and pioneered major scientific breakthroughs[4]. These have included the discovery of penicillin and the structure of DNA, advances in neuroscience and medical imaging, developments in stem cells and IVF, and applying artificial intelligence and data science to biological problems. This unparalleled science base is supported by partnership with government, industry and third sector[5].
Companies investing in the UK benefit from access to world-class universities and life sciences infrastructure including lab space, science parks and manufacturing facilities, as well as incubators and accelerators in which to start up and scale up. A national health research network supports streamlined trials operations, and innovation support is available from the regulator, health technology assessment bodies, and the NHS.
[2] https://www.wipo.int/en/web/global-innovation-index/2024/index
[3] Life Sciences Competitiveness Indicators annual OLS publication 2023
[4] DIT analysis of attribution of Nobel Prizes
[5] https://www.great.gov.uk/international/content/investment/sectors/healthcare-and-life-sciences/
Investment
Focussed on funding
UKRI has a combined budget of more than £7bn across seven research councils to invest in research and businesses.[2]
UK Research and Innovation (UKRI) is a public body which works in partnership with universities, research organisations, businesses, charities and the government to create the best environment for research and innovation to flourish.
Transforming life sciences and bio-manufacturing will continue to be a focus for UKRI. This will be achieved through its funding councils[1], such as the Medical Research Council (MRC), Biotechnology and Biological Sciences Research Council (BBSRC), Engineering and Physical Sciences Research Council (EPSRC) and Innovate UK.
The UKRI budget for 2024/25 is £8.9bn for investments across research councils and strategic programmes.[2]
[2] https://www.ukri.org/publications/ukri-budget-allocation-explainers/
Investment
A magnet for equity finance
The UK life sciences sector raised £2.9 billion in equity finance in 2023.
Our life sciences companies are among the global leaders for investment. With £2.9 billion raised in equity finance in 2023, when it comes to financing we are behind only the USA and China. Looking closer to home, the UK attracted the highest level of investment in Europe [1].
Investment
Growing opportunities
The UK’s pharmaceutical manufacturing industry contributed £20.2 billion in GVA to the economy in 2023.
The UK life sciences sector employed nearly 119,000 people in 2021/22 at manufacturing sites. This figure has been increasing in recent years, with employment now 8% higher in 2021/22 compared to 2018/19[1].
Moderna announced plans to build a £1bn state-of-the-art research and manufacturing centre in the UK in 2022, construction of which began last year, with the facility expecting to become operational in 2025.
The UK has invested in a range of initiatives to develop talent onshore through domestic skills and training policies and programmes. The UK is also focused on providing access and creating an attractive offer for overseas talent.
This includes government funded initiatives such as the RESILIENCE Medicines Manufacturing Skills Centre of Excellence, Advanced Therapies Apprenticeship Community, Advanced Therapies Skills Training Network and RNA Academy.
The UK also offers digital skill training available at all levels – from schools and apprenticeships to academic degrees, degree apprenticeships and postgraduate programmes.
Global Talent Network (GTN) and the Global Entrepreneur programme (GEP) are both working to support talent to locate to the UK.
