University Business Collaboration

Insights from NCUB's State of the Relationship 2025 Report

The latest NCUB State of the Relationship report highlights both progress and ongoing challenges within the UK’s university business collaboration landscape. While the number of large business and university interactions has grown by 1.3%, overall business collaboration income (excluding CPD) declined in real terms for the second consecutive year, now standing at £1.34 billion. Notably, engagement with large firms remains below pre-2017 levels, and licensing income continues to fall.

Dr Joe Marshall, NCUB’s Chief Executive, emphasised the urgent need for the UK to leverage its world-class research base and scientific talent for economic growth. Despite strengths in generating ideas, producing high-quality research, and creating successful spinouts, the system faces mounting pressures. Business investment in R&D is stalling, international industry funding is decreasing, and universities are contending with reduced financial resilience, threatening the ability to secure industry co-investment and support translational innovation.

The report finds that, while the UK’s spinout ecosystem is thriving and the number of interactions is rising, the overall value of collaborations is diminishing, pointing to strained capacity on both university and business sides.

Dr Marshall said “As the UK enters a new phase of industrial strategy, rebuilding capacity and restoring confidence must be national priorities. Collaboration is how missions turn into delivery, whether in manufacturing, clean energy, digital technologies, life sciences or the creative industries. Achieving this will require sustained investment, clearer incentives for business engagement, and a more coherent policy environment across government, funders and regions. Early moves from UK Research and Innovation suggest a shift in the right direction, but the real test will be translating these intentions into action. If we succeed, the UK can convert its research excellence into a genuine economy-wide advantage. If we fail, we risk losing ground to international competitors who are strengthening connections between research, skills and industry far more rapidly.”

This year’s report introduces NCUB’s first Global Benchmarking Framework, enabling the comparison of UK performance with international peers and providing a comprehensive evidence base across 25 indicators in research, innovation, and skills. While the UK remains resilient and adaptive, the foundations for collaboration require urgent attention to maintain and build on current strengths in a competitive global landscape.

Read the report.