Biotech start-ups starved of cash

Most of the UK's biotech start-ups receive no external funding, and the problem is particularly acute outside the South East, finds research.

Only 36 per cent of start-ups in the life sciences sector secure investment, according to a report by Mobius Life Sciences Fund and BioCity Nottingham.

‘There is no getting away from the fact that this country needs to invest if it wants a successful bioscience industry, but historically the jam has been spread too thinly,’ says Glenn Crocker, who wrote the report. ‘It’s not simply about how many start ups are created; it’s about how well university research is turned into business opportunities and the start in life that the companies achieve.’

Across the UK, the average investment per start-up is £3.3 million, but there are massive regional disparities: in the South East the average is £12 million, whilst in the West Midlands, Yorkshire and Wales it is £500,000.

Almost four-fifths of life science start-up activity is concentrated in just four areas of the UK: Edinburgh and Glasgow; the “M1 Corridor” of Leeds, Sheffield and Nottingham; Manchester and Liverpool; and the London/Oxford/Cambridge triangle.

Nick Britton

Nick Britton

Nick was the Managing Editor for when it was owned by Vitesse Media, before moving on to become Head of Investment Group and Editor at What Investment and thence to Head of Intermediary...

Related Topics