What recent announcements mean for UK Research and Innovation

Chancellor pledges £86 billion on R&D over four years. Does this signal continuity or change?

Briefing from the National Centre for Universities and Business summarises recent announcements from the Spending Review and Industrial Strategy relevant to research and innovation in the UK.

The Spending Review and Industrial Strategy aim to support and unlock the vital role that research, development, and innovation play in advancing the UK’s national missions and priority sectors. The Government’s public funding commitment for R&D represents further real-terms growth, helping to maintain investment at historically high levels for the UK.

Despite targeted efforts to increase private investment and innovation, overall UK business R&D spending has fallen sharply, and foreign investment has declined. Public co-investment and government policy are therefore more important than ever, especially given ongoing economic challenges and rising costs of investment.

The government faces tough decisions for future R&D budgets, needing to balance targeted innovation with support for foundational research. Universities, central to these efforts, are experiencing significant funding shortfalls. Sustained, strategic investment and a stable funding system for higher education and research are essential for the UK to remain a global leader in research and innovation.

Read the analysis & briefing here.