Bold UK-Strategy in Life Sciences

The plan outlines a ten-year mission to leverage the UK’s scientific and research capabilities to promote long-term economic growth and strengthen the NHS through a greater focus on prevention.

The life sciences sector currently contributes around £100 billion to the UK economy and supports approximately 300,000 jobs. The new plan, developed in alignment with the government’s 10-Year Health Plan, aims to further translate scientific research into clinical and economic outcomes, including the development of new treatments, faster diagnostic capabilities, and improved patient care.

The plan rests on three primary pillars:

1. Enabling World-Class Research and Development – Strengthening the UK’s position in science and discovery.

2. Creating a Favourable Business Environment – Supporting company growth and attracting global investment.

3. Driving Innovation in Health and NHS Reform – Focusing on prevention and improved patient outcomes.

The government has committed more than £2 billion in funding over the Spending Review period to support the plan, with additional contributions from UKRI and the NIHR.

Key Actions Include:

1. Investment in Health Data Infrastructure
   Up to £600 million will be invested to establish an advanced health data research system aimed at accelerating the discovery of new treatments.

2. Reforming Clinical Trials Regulation
   Revisions to regulatory processes are intended to facilitate faster trial access for patients and reduce administrative barriers.

3. Support for Domestic Manufacturing
   Up to £520 million will be allocated to manufacturing projects within the sector to support job creation and onshore production.

4. Accelerated Access to New Treatments
   Additional support for the MHRA will streamline regulatory approvals, aiming to reduce delays in the adoption of safe and effective therapies.

5. Deployment of Proven Health Technologies
   A new NHS “innovation passport” scheme will help expedite the integration of tools such as AI-based diagnostics and early-detection devices.

6. Support for High-Growth UK Companies
   Measures will be taken to assist fast-growing life sciences firms in scaling up operations and securing investment, with a commitment to establishing at least one major industry partnership annually.

Sector Engagement and Delivery Mechanism

The plan has been developed in consultation with more than 250 organisations across healthcare, research, and industry. It builds upon the 10-Year Health Plan and is part of the government’s wider Plan for Change. Each action within the strategy includes defined goals and responsible leadership, with an emphasis on delivery and measurable outcomes. The strategy complements previous government commitments, including reducing regulatory costs by 25% and increasing support for the MHRA to accelerate market approvals. It also focuses on improving the UK’s clinical research environment by broadening patient access and enhancing NHS integration.

Ongoing initiatives aligned with the plan include:

• Up to £600 million for the Health Data Research Service (in collaboration with Wellcome),

• Over £650 million invested in Genomics England,

• Up to £354 million committed to the Our Future Health programme.

Economic and Strategic Importance of Life Sciences

The life sciences sector is one of eight priority areas identified in the government’s Industrial Strategy. In 2023, the UK was the third-largest global recipient of life sciences equity investment, behind the United States and China. The sector also represents a key export area, with medicines and medical technologies ranking third among UK goods exports in 2024.

Life sciences research accounts for approximately 17% of all UK business R&D spending. The integration of artificial intelligence is also transforming the sector, from diagnostics and treatment to manufacturing, with potential global economic impacts estimated between US$60 billion and US$110 billion annually, according to McKinsey Global Institute.

Ministerial and Expert Statements (and a long list of comments, not included)

Chancellor of the Exchequer, Rachel Reeves, said: “Our world-leading life sciences sector employs hundreds of thousands of people and is a powerhouse for economic growth that puts more money in people’s pockets. Our Plan for Change is ramping up this success story even further. The ten-year life sciences plan we have released today as part of our Industrial Strategy will cut red tape and deliver the investment we funded at the Spending Review so it can stay ahead of the curve globally and we can reap the economic rewards for years to come.”

Science and Technology Secretary, Peter Kyle, commented: “The life sciences sector is one of the crown jewels of the UK economy. It sits at the heart of both our Plan for Change, and our Modern Industrial Strategy, as a unique catalyst for both economic prosperity and better health outcomes for people across the UK. Moving in lockstep with industry, academia and our NHS, we will unleash this sector as a force for good and for growth.”

Professor Sir John Bell and Sir Jon Symonds, Life Sciences Champions for the UK Government, said: “With our world-leading science base, genomics capabilities and industrial heritage, our Life Sciences sector can truly be among the best globally, ensuring the UK is developing and benefiting from the technologies of the future. We must however move past high-level ambitions. This plan, with an inbuilt, relentless focus on delivery, provides the vehicle to take us there.”

Wider Industrial Strategy Context

The announcement coincides with the fourth “Made in the UK, Sold to the World” Roadshow – a government initiative aimed at increasing exports from SMEs in the life sciences and other key sectors. These efforts are part of a broader push to foster long-term economic growth, job creation, and increased productivity through targeted support for high-growth industries. Whereas the new strategy focuses on health, some years ago the UK government released plans to put biological engineering in the center of another £2bn strategy. Of this plan a smaller part was put into action some weeks ago with a budget of around £380m.