London to see 12,000 new jobs created in life sciences industry, new research reveals

London is set to benefit from the creation of thousands of extra jobs and hundreds of millions of pounds of growth over the next decade in its life sciences sector, according to new research.

This will only be achieved if increases in life science research and development rise in line with government targets, according to research conducted by the Association of the British Pharmaceutical Industry (ABPI).

Specifically, around 6,480 extra skilled jobs would be created for London with the added R&D, along with more than £480m of extra growth, in 2027 alone.

The capital is predicted to outperform the all other UK regions in terms of jobs and growth.

Much of the extra growth would likely come from the centre of London in areas like Westminster, where Takeda UK is based, but also from North and West London, which contain the sites of other large companies in the industry like GlaxoSmithKline and Bristol-Myers Squibb Pharmaceuticals.

The life sciences sector is made up of industries like food science, plus plant and veterinary science. But the pharmaceutical industry is the single biggest contributor.

The London figures are projected on the basis that R&D in the region’s life sciences sector will increase from £353m in 2015 to £651m in 2027.

The Government set out in the Budget last year that it would commit to increasing its investment in R&D to 2.4% of Gross Domestic Product by 2027, to help the UK catch up with the R&D spending of the most advanced economies like Japan, Germany and the United States.

In time, the investment could rise to 3% of GDP, which the ABPI research shows if met by 2027 would create an even greater boom in jobs.

As a result, nearly 12,000 extra jobs will be created in London (11,811), with £880m of growth added to the capital.

Dr Richard Torbett from ABPI said: “This research underlines why increasing the amount that government and industry spends on innovation is so important. Industries like pharmaceuticals have the potential to generate the jobs of tomorrow, as well as securing the thousands of jobs they provide in London today.

“But it’s not just about jobs and the economy. Our scientists work hand-in-hand with the NHS to provide medicines which save and improve millions of lives in this country, around the world and in communities in this region.

“By investing in the life sciences like pharmacy we can be part of the battle against illnesses that continue to blight so many lives – while also helping to deliver jobs and prosperity in regions like London and across Britain.”