The UK government has announced an £86 billion funding package for the science and technology sector, aimed at accelerating research into drug treatments, battery technology, and regional innovation across the country.
The announcement, made ahead of Chancellor Rachel Reeves’ upcoming Spending Review on Wednesday, outlines plans for the Department for Science, Innovation and Technology (DSIT) to direct resources to a range of priority areas, with local leaders given a role in shaping how up to £500 million is spent in their regions.
The funding forms part of the Labour government’s broader strategy to stimulate economic growth, boost national security, and support working families through investment in high-tech industries. By 2029, annual spending on science and technology is expected to exceed £22.5 billion.
“Britain is the home of science and technology,” Reeves said. “Through the plan for change, we are investing in Britain’s renewal to create jobs, protect our security against foreign threats and make working families better off.”
DSIT said the investment would reach “every corner of the country.” In Liverpool, the money will support drug discovery initiatives; Northern Ireland will benefit from defence technology development; and south Wales is set to focus on designing microchips for mobile phones and electric vehicles.
However, leading figures in the science community have urged the government to pair the funding with a long-term strategy. Tony McBride of the Institute of Physics said the success of the plan depends on addressing workforce shortages, starting with teacher recruitment and education reforms to support industrial growth.
John-Arne Røttingen, CEO of research charity Wellcome, warned that rising visa costs for international scientists, financial pressures on universities, and inflation risks could limit the impact of the funding. He called on the UK to lead the G7 in research intensity to remain competitive globally.
Reeves has cautioned that not all departments will see their funding requests granted. Speaking earlier this week, she said tight spending controls were necessary due to what she described as “Conservative maltreatment” of the economy. Her fiscal rules stipulate that day-to-day spending must be covered by tax revenue, with borrowing reserved for investment.
While science and health are expected to see significant funding increases — including a reported £30 billion boost for the NHS over three years — tensions remain within Whitehall, with insiders predicting a difficult review process as departments compete for limited resources.
The Spending Review is expected to set departmental budgets for the coming years and will play a central role in shaping the government’s economic agenda.
