The Association of the British Pharmaceutical Industry (ABPI) has set out the UK life sciences industry’s priorities for chancellor Jeremy Hunt’s budget on 6 March 2024, to promote long-term investment into the UK.
The new measures follow Hunt’s 2023 Autumn statement, which recognised a high potential for UK life sciences in delivering the jobs and growth that the UK needs.
In his statement, Hunt also announced a record package of support, which included a funding boost worth £520m for manufacturing and moving to make permanent the full-expensing capital allowances model.
Despite this, the ABPI believes that “there is more that the chancellor can do to support British life sciences leadership and ensure that the UK continues to be a destination for launching innovative medicines”.
In its submission, the ABPI has identified four key areas where the budget could boost UK life sciences.
This includes enhancing the UK’s long-term tax and fiscal offer to global and domestic companies and increasing public investment in the power of innovative medicines.
Alone, pharmaceutical manufacturing is responsible for £16.4bn in GVA to the UK economy every year. In delivering supportive policies and operating environments for medicine manufacturing, the UK could attract £15bn worth of investment and an additional 26,500 jobs in the next decade.
Research by PwC has shown that 429,000 additional years of life in good health for UK patients and £17.9bn in productivity gains for the UK economy would be delivered if the UK increased use across four medicines: DOACs, SGLT2 inhibitors, severe asthma biologics and vasopressin V2-receptor antagonists.
The ABPI also suggests delivering the new Life Sciences Investment Programme effectively and ensuring a globally competitive regulatory system that supports innovation and research.
The key areas highlighted build on the ABPI’s Manifesto for Investment, Health and Growth, which sets out the association’s vision for how the UK can overtake its global competitors.
Together, they have the ability to promote investment in medicines and accelerate research to increase the UK’s global position in research and development.
Richard Torbett, chief executive, ABPI, said: “If we get the policy environment right, we can transform NHS health outcomes while boosting British scientific research and reinvigorating medicines manufacturing in this country.”