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Life science industry welcomes announcement of £150 million cornerstone investment

29 June 2009

The life sciences industry welcomes Lord Mandelson’s announcement of the creation of an Innovation Fund which will be corner-stoned by Government with investment from private investors.

Clive Dix, Chairman of the BioIndustry Association (BIA), commented:

“We are delighted that the Government recognises that life sciences are core to the future of the British economy. This announcement will send a strong signal that the UK is the place to grow companies.

“We welcome the Government’s plan for an Innovation Fund and believe it will make a significant contribution to securing the long term health of the life science sector in the UK, providing much needed follow-on investment to early stage companies developing innovative technologies for the patients that need them.

“This is an excellent first step towards delivering an integrated strategy for life sciences and we look forward to the announcement of a full package of measures from the Office for Life Sciences expected in July.

“The industry has been calling for an Innovation Fund since the publication of the Bioscience Innovation and Growth Team Review and Refresh, published in January and we now look forward to a rapid implementation of the UK Fund so that it can start investing by the end of 2009.”

Richard Barker, Director General of the Association of British Pharmaceutical Industries said:

“The UK's economy and NHS patients need our country to lead in life sciences. Many great discoveries begin in small companies, many of which face an urgent funding crisis. Meeting this need is an important signal of Government's intent and a first step towards delivering against an ambitious strategy to put UK life sciences at the forefront of our country's economic and health future”

Peter Ellingworth, Chief Executive of the Association of British Healthcare Industries said:

“The UK has the most vibrant SME medical technology sector in Europe. To maintain this requires continued investment and the proposed fund is a welcome boost from Government and a recognition of the potential offered by this sector”.

Doris-Ann Williams, Director General of the British In Vitro Diagnostic Association said:

“We also welcome the creation of the Fund which will help the diagnostic sector where the majority of companies are also SMEs”

ENDS

For further information, please contact Robert Winder, Communications Manager, 020 7565 7193; mobile 07825 942 934.

Notes to editors

The UK Innovation Fund

The UK Innovation Fund (UKIF) will be made up of £150 million cornerstone investment from Government which will leverage significant investment from VCs, institutional investors and large pharmaceutical companies. The UKIF will hope to raise £1 billion to invest over a ten year life span and will invest in life sciences, clean technology, advanced manufacturing and digital Britain.

BIS press release:

http://nds.coi.gov.uk/content/Detail.aspx?NewsAreaId=2&ReleaseID=404169&SubjectId=15&DepartmentMode=true

BIGT Review and Refresh

Bioscience Innovation and Growth Team Review and Refresh of Bioscience 2015

http://www.bioindustry.org/biodocuments/BIGTR2/BIGT_Review_and_Refresh.pdf

BIA life sciences industry finance survey:

http://www.bioindustry.org/cgi-bin/contents_view.pl?PRESS_ID=234&ID=23

BioIndustry Association

Established in 1989, the BIA (BioIndustry Association) exists to encourage and promote a financially sound and thriving bioscience sector within the UK economy and concentrates its efforts on emerging enterprise and the related interests of companies with whom such enterprise trades.

With over 300 members, the BIA supports a wide range of sectors, majoring on the human health benefits of the technology and represents the interests of these innovative companies to a broad section of stakeholders from patient groups to politicians, advancing its members interests both within the UK and internationally to create a healthy UK bioscience sector which benefits society.  For further information, please go to: www.bioindustry.org

British In Vitro Diagnostic Association

The British In Vitro Diagnostics Association (BIVDA) works to raise awareness of the clinical and cost utility of in vitro diagnostics in the provision of effective healthcare in the UK. The membership of BIVDA currently represents over 95% of the industry with more than 100 member companies. Membership includes UK subsidiaries of multinationals, UK SME's and a number of start-up companies. BIVDA members supply diagnostic tools to the NHS for a range of disease areas, including diabetes and cancer

Association of British Healthcare Industries

The Association of British Healthcare Industries (ABHI) is the industry association for the UK medical technology sector. Our aim is to promote the rapid adoption of medical technologies to ensure optimum patient outcomes throughout the UK and in key global markets.  Members include manufacturers of medical devices, equipment and consumables and other suppliers to the medical community

Association of British Pharmaceutical Industries

The Association of the British Pharmaceutical Industry (ABPI) is the trade association for more than 90 companies in the UK producing prescription medicines for human use. Its member companies research, develop, manufacture and supply more than 80 per cent of the medicines prescribed through the National Health Service (NHS).

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