Tech innovators backed to set up and scale up in Britain through Industrial Strategy
Source: gov.uk (2025-06-23)

Ambitious Digital and Technologies Sector Plan to help deliver government’s modern Industrial Strategy to drive national renewal and our Plan for Change.

- Ambitious Digital and Technologies Sector Plan to help deliver government’s modern Industrial Strategy to drive national renewal and our Plan for Change
- £670 million in investment to accelerate impact of quantum computers from energy to healthcare
- Engineering biology researchers in line for £380 million to advance cutting-edge research such as in life-saving medicines and sustainable food
Innovators driving future technologies like quantum computers to deliver new life-saving medicines and semiconductors powering the next generation of mobile phones are being backed by well over £1 billion to set up and scale up their businesses in Britain, Science and Technology Secretary Peter Kyle has announced.

Investment will include landmark funding for the UK’s mission to develop quantum computers that could unearth game-changing discoveries for our health and environment, the establishment of a new national semiconductor centre laser-focused on helping firms to scale-up, and new backing for engineering biology researchers working on everything from new vaccines to eco-friendly fuels.

The package will drive the Digital and Technologies Sector Plan within our modern Industrial Strategy published today (Monday 23 June), a pivotal moment in the government’s agenda for national renewal and in supporting our mission as part of the Plan for Change (https://www.gov.uk/missions) to deliver the highest sustained economic growth in the G7.

To ensure the UK is in pole position to make the most of quantum computing’s potential to improve our everyday lives, £670 million will be dedicated to accelerating the application of this revolutionary technology.

It makes the National Quantum Computing Centre one of the first organisations to receive a 10-year funding settlement, providing long-term certainty to researchers that marks Britain as the place to do business when it comes to cutting edge tech.

By 2035, the UK aims to develop quantum computers capable of outperforming conventional supercomputers, potentially meaning new drugs for incurable diseases or better carbon capture technologies, supporting our missions of building an NHS that is fit for the future and making Britain a green clean energy superpower as part of the plan for change.

Science and Technology Secretary, Peter Kyle, said:

Britain is full of ambitious risk-takers driven by a desire to innovate and improve people’s everyday lives. It is on us in government to match that boldness by investing in our country’s immense potential and embracing businesses who can drive that change and grow our economy.

From quantum computers that could revolutionise drug discovery and make the NHS fit for the future, to sustainable fuels that can make the UK a clean energy superpower, science and technology has a key part to play in delivering our modern Industrial Strategy to renew our country and support our Plan for Change.

In engineering biology, a £380 million investment will support researchers working on everything from new life-saving medicines to cell-cultivated meats and climate-resilient crops, to protect our environment and strengthen food security.

Of this, £184 million will help bridge the gap between laboratory discoveries and commercial applications through infrastructure supporting innovators to scale up. The remaining £196 million will be invested in research and development through the National Engineering Biology Programme, bolstering the UK’s significant strengths in this field.

Further initial investment includes:

The commitment of £54 million to bring the world’s top science and tech talent to the UK. As the UK competes for the highest skilled individuals in priority industries, the launch of the government’s Global Talent Taskforce signals a greater focus on targeting and attracting the brightest and best talent to supercharge growth.

A new UK Semiconductor Centre, backed by up to £19 million, will serve as a single point of contact for global firms and governments to engage with the UK semiconductor sector, helping our ambitious firms to scale-up, form new partnerships and strengthen the UK’s role in global supply chains – benefiting us all in helping to grow the economy.

£35 million to scale up the recently announced Semiconductor Talent Expansion Programme – including new chip design courses for students, bursaries, schools outreach, and a proposed master’s conversion course to help more people move into the sector.

£370 million for cutting-edge, UK-developed technologies to deliver advanced connectivity improving coverage for communities, providing connectivity across transport networks, and supporting defence applications – like drones.

It includes a £240 million Advanced Connectivity Tech R&D programme, and a further £130 million will go towards strengthening the capabilities of the UK Telecoms Lab, enhancing the security and reliability of our networks.

Building on a successful round of semiconductor Innovation and Knowledge Centres launched earlier this year, the government is providing funding for 2 additional centres, backed by £25 million.

£10 million to expand Cyber ASAP supporting 25 academic teams annually, plus £2 million for Belfast’s Cyber AI Hub, aiming to support 28 academic spinouts by 2030.

£6 million to extend Cyber Runway accelerator, supporting 60 startups annually with mentoring, skills development and networking to improve survival rates and growth.

£24 million to promote CHERI blueprint adoption for designing secure next-generation chips.

Find the full modern Industrial Strategy here (https://www.gov.uk/government/publications/industrial-strategy).

Notes to editors

Further funding set out in the strategy includes:
- Up to £330 million investment through the National Security Strategic Investment Fund for UK security and defence capabilities, plus a second year of the Science and Technology Venture Capital Fellowship to support digital and technology investments.
- The Sector Plan also highlights AI as a frontier technology, following £2 billion committed at the Spending Review (https://www.gov.uk/government/publications/spending-review-2025-document) to implement the AI Opportunities Action Plan (https://www.gov.uk/government/publications/ai-opportunities-action-plan/ai-opportunities-action-plan). The investment reaffirms the government’s commitment to deliver all 50 recommendations outlined in the Plan and underpins the Industrial Strategy’s approach to prioritise frontier technologies with the greatest growth potential.
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