The UK government has announced a record £55 billion investment in research and development (R&D) to drive innovation, economic growth, and job creation across sectors such as health, technology, and clean energy. This major funding boost, provided through the Department for Science, Innovation and Technology (DSIT), represents the department’s largest-ever R&D investment and ensures long-term support for the country’s leading research agencies and institutions. The allocation marks a real-terms rise in R&D funding, reflecting the government’s commitment to strengthening the UK’s global position in science and innovation.
According to new analysis, every £1 of public investment in R&D generates £8 in wider economic benefit and attracts an additional £2 in private investment. During her visit to IBM’s London base, Science and Technology Secretary Liz Kendall highlighted how public-private partnerships are advancing innovations in quantum computing, AI, and robotics. Publicly funded research has already led to major breakthroughs — such as life-saving antibody treatments and clean energy solutions — which are now being scaled up through these new funding commitments.
This R&D boost will also support major research initiatives, including UKRI’s £210 million Hartree Centre, which applies advanced computing to medicine and energy innovation, and the National Quantum Computing Centre, which has secured the UK’s first-ever 10-year government funding commitment. Companies such as Oxford Nanopore and Cobalt Light Systems, which previously benefitted from public R&D grants, illustrate the long-term economic and social impact of such investments — from pandemic early warning systems to airport security technology.
The government emphasized that this long-term R&D commitment will deliver lasting economic dividends by helping businesses grow faster and create high-value jobs. Over the six years following their first R&D grant, UK businesses see an average 21% increase in employment and 23% increase in turnover compared to similar firms without support. Public funding continues to play a crucial role in transforming innovative startups into globally successful enterprises.
Funding allocations for the 2026–2030 period include over £38 billion for UK Research and Innovation (UKRI), an increase in ARIA’s budget to £400 million annually, and substantial support for the Met Office (£1.4 billion), National Academies (£900 million), National Measurement System (£550 million), and the AI Security Institute (£240 million). These investments will sustain innovation across universities, research institutes, and industries nationwide.
Altogether, this funding forms part of the government’s £86 billion public R&D commitment, aimed at delivering transformative technologies, improving public services, and ensuring Britain remains a global leader in science and innovation for decades to come.
