UK Report Says Persistent Failure to Commercialize R&D Threatens Life Sciences

In a report from the United Kingdom House of Lords Science and Technology Committee, titled “Bleeding to Death: The Science and Technology Growth Emergency,” significant challenges are highlighted that threaten the UK’s position in the global science landscape, particularly within the life sciences sector (1). While the UK maintains a globally competitive R&D base, it has been less effective at commercializing R&D, leading to a persistent failure for promising early-stage companies to scale up and remain domestically, according to the report.

The current state of the life sciences sector is presented as illustrative of a "lack of long-term thinking and coordination in government policy," according to an analysis by Resilience, the UK’s Medicines Manufacturing Centre of Excellence (2).

This situation has fueled profound negativity within the pharmaceutical industry, with key leaders suggesting that major pharmaceutical companies are signaling they are "out" and reducing investment (1,2). The urgency of addressing these issues is underscored by recent events, including Merck’s cancellation of its £1 billion (US$1.3 billion) UK research center, citing the UK as "not internationally competitive," and rumors of AstraZeneca upgrading its United States share listing (2). If the UK loses its life sciences expertise and major pharmaceutical companies, there could be substantial consequences for drug discovery, development, and manufacturing worldwide, a few of which are addressed in the following questions.

What other implications does this report suggest?

Beyond the imperative for coordinated policy and financial reforms, experts emphasize that addressing the UK’s decline requires fundamental investment in the talent pipeline (2). This ongoing requirement for workforce training is essential for enabling technological productivity gains and ensuring the life sciences sector can meet its future needs.

Why do companies struggle to scale?

Science and technology companies, including those in life sciences, struggle significantly to obtain scale-up finance domestically once they move beyond Series A funding. This often leads venture-backed companies to seek funding from abroad, especially the US, where capital pools are deeper, or results in acquisition by an overseas buyer (1).

How can skills gaps be closed?

It is seen as critical to invest in attracting, engaging, and training future generations, as skills are considered the engine of growth that encourages companies to invest and innovate. Initiatives like Resilience are using advanced virtual reality technology to deliver training, which helps boost productivity, provides practical skills, and supports sustainability goals by reducing laboratory waste and expensive consumables (2).

References

1. House of Lords, Bleeding to Death: The Science and Technology Growth Emergency; 2nd Report of Session; UK Parliament, November 2025.
2. Resilience—UK Medicines Manufacturing Skills Centre of Excellence. House of Lords Report Says Government Lacks Long-Term Thinking in Life Sciences, But Leading Academic Says the Problems Run Deeper. Press Release. Nov. 14, 2025.