The Chancellor of the Exchequer presented his Spring Budget to Parliament on Wednesday 15 March 2023. This Spring Budget highlights the following points for the whole of the life science industry.
A lot of emphasis has been given to the UK becoming Global Leader in Science initiatives. The Government could work on introducing several regulatory changes in the upcoming days. This budget highlights a £10 million boost to deliver a model that is described by the Chancellor as putting in place “the quickest, simplest, regulatory approval in the world for companies seeking rapid market access.”
Scoop through important aspects of this budget for the Life science Industry.
- 3.3 There are many underlying strengths of the UK’s economy, which will underpin future growth. The UK has a dynamic business environment and was ranked by the World Bank in 2020 as the best place to do business amongst large European nations and second only to the US in the G7.55 The UK economy is also highly innovative, ranked fourth in the Global Innovation Index, and home to three of the world’s top ten universities.56 Its digital, life sciences and creative sectors are amongst the largest in the world.57 The UK is on track to become a world leading science superpower, supported by the newly established Department for Science, Innovation and Technology.
- High growth sectors 3.79 The government will turn its vision for UK enterprise into a reality by supporting growth in the sectors of the future. There are opportunities to accelerate the progress of the technologies that will define this century by encouraging investment and smarter regulation. This will support the government’s aim to capture a share of growing global markets in: • green industries • digital technologies • life sciences • creative industries • advanced manufacturing.
- 3.80 At Autumn Statement 2022, the government asked Sir Patrick Vallance to lead the Pro-Innovation Regulation of Technologies Review to support innovation in key growth sectors. Sir Patrick publishes his report today on the regulation of emerging digital technologies and he makes interim recommendations on life sciences. Green industries will be addressed in the coming weeks. The new Government Chief Scientific Adviser, Professor Dame Angela McLean, will oversee forthcoming reviews into creative industries and advanced manufacturing.
- 3.91 Further investment is needed in infrastructure for research and innovation. Powerful computing capability is an essential component of being a global hub for innovation and achieving the UK’s ambition to be a science superpower. Compute is also essential to progress in Artificial Intelligence research.114 However, according to the independent Future of Compute Review, published last week, the UK’s most powerful computer ranks just 28th in the world.115 The Review also found that the UK’s AI community has immediate requirements for large-scale, accelerator-driven compute to remain internationally competitive.
- 3.95 Quantum technologies are expected to have transformative and wideranging impacts, through the development of new types of computers, secure communications, and wider improvements to sensing, imaging and timing. The Quantum Strategy sets out a new and ambitious quantum research and innovation programme. The government will invest a total of £2.5 billion over 10 years, focusing on realising 4 goals: ensuring the UK is home to world-leading quantum science and engineering; supporting businesses through innovation funding opportunities and by providing access to world-leading R&D facilities; driving the use of quantum technologies in the UK; and creating a national and international regulatory framework.
- 3.96 The government has allocated £100 million funding for the Innovation Accelerators programme to 26 transformative R&D projects. This will accelerate the growth of 3 high-potential innovation clusters and support Levelling Up. This includes the Manchester Turing Innovation Hub led by the University of Manchester, 2 quantum projects in Glasgow led by the University of Glasgow and M-Squared Lasers Limited, and a project to accelerate new health and medical technologies led by the University of Birmingham.
- 3.98 The UK is a world-leader in the life sciences industry, with significant R&D hubs such as Cambridge’s Biomedical Campus. East West Rail – the rail line joining Oxford and Cambridge – will support further growth in life sciences and other high-productivity sectors across the region, connecting businesses and talent. In May, the government will confirm the route for the new Bedford-Cambridge section, and will provide capacity funding to support local authorities to develop their plans for strategic economic growth around new stations.
- 3.99 Boosting the supply of commercial development, in particular lab space, is key to supporting R&D needs and driving investment into high value industries across England, such as the life sciences and advanced manufacturing sectors in the Oxford-Cambridge corridor. Following the recent National Planning Policy Framework consultation the government will set out further details for supporting growth in this area in due course.
- 3.100 Based on interim recommendations from Sir Patrick’s regulatory review of life sciences, the government is supporting the Medicines and Healthcare products Regulatory Agency (MHRA), the first drugs regulator in the world to authorise a COVID-19 vaccine, to become faster and nimbler. With £10 million extra funding over the next 2 years, the MHRA will maximise its use of Brexit freedoms and accelerate patient access to treatments. The MHRA is exploring partnerships with trusted international agencies, such as in the US, Europe and Japan, to provide simple, rapid approvals for medicines and technologies that have received their approval from 2024. The MHRA will also have a fully operational swift approval process in place from 2024 for the most impactful new medicines and technologies – such as cancer vaccines and AI therapeutics for mental health.
- 3.106 The government is launching the refocused Investment Zones programme to catalyse 12 high-potential knowledge-intensive growth clusters across the UK, including 4 across Scotland, Wales and Northern Ireland. Each cluster will drive the growth of at least one of our key future sectors – green industries, digital technologies, life sciences, creative industries and advanced manufacturing – bringing investment into areas which have underperformed economically.
- 3.126 The government has also provided a further £161 million for high-value capital regeneration projects in city regions across England, including business premises and food science facilities in Tees Valley, and unlocking investment in a research campus in the Liverpool City Region.
- 4.112 Medicines and Healthcare products Regulatory Agency (MHRA) recognition framework – The government is providing £10 million extra funding in 2023-24 to 2024-25 to the MHRA, allowing the regulator to maximise its use of Brexit freedoms and accelerate patient access to treatments. From 2024, MHRA will have a fully operational swift approval process for the most impactful new medicines and technologies. The MHRA is also exploring partnerships with trusted international agencies, such as the U.S., Europe and Japan to provide simple, rapid approvals for medicines and technologies from 2024.
- 4.114 Extending British Patient Capital – Building on British Patient Capital’s strong track record, the government will extend the programme a further 10 years until 2033-34 and increase its focus on R&D intensive industries. This will bring at least £3 billion government investment across key industries including life sciences, Net Zero and deep tech, crowding in many multiples more in private capital.
- 4.115 Long Term Investment for Technology and Science (LIFTS) – To support Defined Contribution (DC) scheme investment into innovative UK companies, the government will launch a Long-term Investment for Technology and Science (LIFTS) scheme, providing a key stimulus for industry to create the structures needed to mobilise DC scheme investment into our most cutting-edge companies. Today, the government is inviting feedback on the design of the competition.
- 4.126 City and Metropolitan Regeneration Projects – The government has provided a further £161 million for high-value capital regeneration projects in city regions across England, including business premises and food science facilities in Tees Valley, and unlocking investment in a research campus in the Liverpool City Region.
This article was written by Medilink Member, Global Regulatory Services (Med Di Dia). For more information on membership, please click here