In the latest of their key plans, the Government have released their industrial strategy. BIVDA look into the details behind the headlines.
As set out previously in our report on the spending review, the not-so-new Government needs desperately to drive economic growth. The three biggest barriers to their re-election are concerns around immigration, NHS performance, and the UK economy. With the cost of living and geopolitical events world-wide driving long term inflation, this plan aims to set a path to stability, investment, and business success. By calling out the life sciences as a key UK partner, the plan will also inevitably merge wealth with health.
So far, so obvious. So what does the plan mean for MedTech in general and IVDs in particular? Unsurprisingly, the plan and industry experience differ slightly.
BIVDA welcome the focus on science and technology, particularly the life sciences. These are areas where the UK are genuine world leaders, but importantly have the ability to continue to grow sustainably. The strategy offers support for the upcoming Life Sciences Sector Plan (LSSP), which BIVDA were heavily involved with. The LSSP — anticipated to be released next week — is ambitious and aims to stop the drain of talent and product abroad.
There is also a welcome focus on the key role SMEs play in the sector, with promises of support to ensure SMEs can monetise products earlier in their product life cycle and to support them to remain in the UK. And companies of all size will welcome the suggestion of a reduction of 25% in regulatory costs, a “route” for international reliance, and a streamlined procurement process.
These are the aims, so what about delivery? To highlight one area, with the MHRA currently reviewing their fees – and it seems unlikely but not impossible they will be downwards – will regulatory costs really reduce by 25%? Working more closely with NICE (presumably building on the recent IDAP/ILAP pilot) is again welcome, but how will this be integrated into the streamlined procurement process?
Internationally, the US and the EU are also looking to leverage the possibilities of the life science sector, launching programmes to incentivise their own markets. With each of these markets larger than the UK, the UK must offer real and substantive incentives to position ourselves as the most attractive location.
The devil, as always, lies in the delivery. Once the LSSP and NHS ten year plan have been published, we will have a clear picture of how the Government will look to make these aspirations a reality.
The next two years are critical for the IVD industry, the NHS, and the UK. IVDs play a key part in the health and wealth of the UK – offering better health outcomes, a more agile NHS, and a contribution measured in billions to the UK economy.
BIVDA welcome the Government’s ambitions – but stand ready to hold them to account to deliver.
Industrial Strategy at a glance:
- Streamlining regulation and market access by supporting the Medicines and Healthcare products Regulatory Agency (MHRA) to become a faster, more agile regulator.
- A clearer route to market through joint advice and parallel approvals with the National Institute for Health and Care Excellence (NICE).
- A route for international reliance for medicines and medical devices.
- Support the Life Sciences Sector Plan with over £2bn over the Spending Review period, alongside funding from NIHR and UKRI.
- Invest up to £600m to help set up the Health Data Research Service, with the goal of attracting global trials and AI investment to the NHS.
- Implement the O’Shaughnessy reforms to reduce time taken for clinical trial approval to less than 150 days, and aiming to double commercial interventional trial participants by 2026, and again by 2029.
- Invest £520m in advanced manufacturing through the Life Sciences Innovative Manufacturing Fund.
- Streamline the procurement process through a Rules Based Pathway for MedTech and NHS Innovator Passport.
- Secure at least one major strategic partnership with a life science company annually.
- Establish a support service to help 10-20 UK companies to scale and remain headquartered in the UK.
- Over £650 million over five years for Genomics England.
- Up to £354 million for Our Future Health, £30 million for preclinical infrastructure, and £20 million for UK Biobank.
