Life sciences sector gets priority support in the UK

The government outlined its vision in a new life sciences sector plan (78-page / 13.9MB PDF), which builds on the modern industrial strategy it set out earlier this summer. That strategy confirmed the life sciences sector is one of eight sectors that the UK government sees as having high growth potential and which it plans to provide priority support to as a result. The sector plan now published provides details of what that support will entail.

According to the new sector plan, the government wants to remove barriers for life sciences companies to using NHS data in research and development projects, as well as cut the time it takes to commence clinical trials and for products – both medicines and medical technologies – to clear regulatory processes in the UK. It is also seeking to catalyse private investment in the sector and ensure there is a skilled workforce and greater manufacturing capacity to support its growth ambitions for industry.

Charlotte Weekes, life sciences expert at Pinsent Masons, said: “The life sciences sector plan is ambitious, progressive and very encouraging for businesses operating in the sector and for users of the NHS in the UK. It is great to see the recognition for the sector in terms of the jobs and economic contribution it provides and the consequential need to enable world-class R&D, make the UK an outstanding place to start, scale and invest and to deliver better outcomes for patients in a more modern and preventative healthcare system by driving health innovation and NHS reform – the three core pillars of the plan’s comprehensive roadmap.”

The government believes the UK’s life sciences sector has the potential to grow 165% – or £41 billion – by 2035. However, it acknowledged in its new sector plan that for that potential to be realised, “perennial challenges” need to be overcome.

“The UK life sciences sector… excels at discovery, with pharmaceutical R&D accounting for 17% of all UK business R&D in 2023, the highest of any product area, but struggles with commercialisation and adoption,” the government said, adding that the UK also faces “profound health challenges with an ageing population”.

“Even in areas of traditional strength such as regulation and clinical trials, the UK has underperformed in recent years, with a slower median time for setting up and approving commercial trials compared to many competitors, and a series of (now addressed) backlogs across medicines approvals,” it said.

One action the government intends to take in the short-term includes the establishment of a new Health Data Research Service (HDRS). The HDRS, it said, will “transform access to research-ready health data, making national population-scale data assets and deep multi-modal data securely available for commercial, academic, and other research on an unprecedented scale, with ease of access and clear value capture”. The new body will be operational by spring 2026, it said.

“By 2030, the HDRS will provide timely access and a single point of entry to a breadth of data assets including general practice, hospital episode, prescribing/dispensing, and death registration data, covering the whole population, with AI-ready datasets including linked pathology, radiology, and genomic data,” the government said. “Service design will be informed by robust engagement and analysis from the outset in collaboration with partners in the devolved governments and across the data landscape. The national HDRS will provide secure and streamlined access to health data and services, underpinned by strong cyber security principles.”

Another immediate priority for the government is cutting the time it takes to establish new clinical trials in the UK. It has pledged that, by March 2026, companies will be able to gain approval for, and be able to set up, new clinical trials within 150 days.

By the middle of next year, the government has said the industry regulator, the Medicines and Healthcare Regulatory Authority (MHRA), will publish a new framework for medical devices. It said that framework will cover AI.

To ensure patients can access innovative new treatments or medical technologies faster, a range of measures are planned. For example, the government is planning to introduce a new ‘innovator passport’ in the NHS to allow new products to be cleared for use across different NHS trusts more easily. It also said that, by April 2027, it will make the innovative device access pathway (IDAP) it has piloted “a permanent programme” as well as refresh the innovative licensing and access pathway (ILAP) that also currently operates.

The government also plans to improve coordination and alignment between the MHRA, which is responsible for regulatory assessments, and NICE, the body responsible for providing guidance to healthcare professionals and for making recommendations relating to use of products on the NHS in England.

The government further recognised the role for generics and biosimilars in growth of the UK life sciences sector. In this regard, it has said it wants the UK to become a world leader in the uptake of off-patent medicines. It wants to build on the strength of a high rate of generic prescribing and rapid uptake of new biosimilar drugs and sees an opportunity to save £1 billion over five years through increased uptake of off-patent medicines.

“By 2035, the UK will have fully harnessed its world leading science and genomics capabilities, become a global leader in regulatory and clinical research infrastructure, and developed a data ecosystem that drives research, diagnosis, and a strong focus on prevention,” the government said. “Our capital markets will support and fund entrepreneurs to scale, and - critically - our health system will adopt and scale innovation, from medicines to medtech and AI-enabled technologies.”

“This dynamic and reinforcing environment will drive sustained economic growth and significant health improvement,” it added.