UK Research and Innovation

5. What steps she is taking to increase levels of funding for UK Research and Innovation.

I am very proud that this Labour Government have put the biggest investment into research and development of any Government ever, with a record £38 billion for UK Research and Innovation, including £14 billion for curiosity-led research. This week, we announced our ambitious plan to buy usable, large-scale quantum computers by the early 2030s, backed by £2 billion of funding—a world first. We are backing our world-leading quantum sector, because we are determined to do everything to back our brilliant British scientists, innovators and entrepreneurs.

I thank the Secretary of State for her answer. Despite the massive Government increases in funding generally, in a recent meeting of the Science, Innovation and Technology Committee, we heard how the Science and Technology Facilities Council is currently dealing with a significant reduction in funding, particularly in particle physics, astronomy and nuclear physics. Michele Dougherty, the executive chair of the STFC, placed the blame squarely on decisions made prior to her arrival and explained her efforts to sort out the mess, but it is the scientific community, research professionals and UK science that will feel the brunt of this funding crunch. What is the Secretary of State doing to ensure that UK science is not damaged by STFC’s historical failings?

A lot of concerns have been raised by the physics community about this issue. The STFC’s budget is actually flat over the spending review, but, as the executive chair says, there have been overspends in its budget over the past five years or so. Those overspends have had to be met from elsewhere in UKRI’s budget, meaning other things have not been funded as a result. STFC and UKRI are looking at how to get the balance right among their different projects. They, and our Minister for Science, Innovation, Research and Nuclear, will be engaging closely with the physics community over the coming months to make sure we get this right.

My constituent George works for the Science and Technology Facilities Council. He has highlighted to me that UK Research and Innovation is developing a model that significantly reduces spending for all areas of science under the STFC’s remit, including quantum science, particle astrophysics and theoretical physics. Given that the STFC has already warned staff of potential job losses and that it ran a voluntary exit scheme last year, can the Secretary of State reassure the research community, including my constituent in Chorleywood, by confirming that the STFC science facilities and national labs have the necessary funding and will continue commissioning excellent research for years to come?

I reassure the hon. Gentleman’s constituents in Chorleywood—a place I know well—and people right across the country that this Government have provided the biggest ever funding settlement for science. The STFC’s budget is not being cut; it is actually rising slightly, but is flat over the spending review period because of the impact of inflation. Within that context, it is right to ask the STFC and UKRI together to get those budgets under control. Experts will be helping to ensure that we prioritise the most important research. We strongly back curiosity-led research, especially in physics, which is so important for the foundation of our economy and society. However, we do need to sort this problem out.

I call the shadow Minister.

Modern warfare is technological warfare, so UK research and innovation is critical for our defence. When the Secretary of State has spoken with the Defence Secretary about the defence investment plan, as I assume she has, which sectors has she prioritised for investment in UK companies in research and development—drones, space, cyber, chips? Could she spell out her vision of the role of UK tech in defence, if she has one?

As the former head of MI6 has repeatedly said, the single biggest thing that we could do to strengthen our defence and national security is to invest in research and development. UKRI has had the biggest funding settlement from any Government ever under this Labour Government. The Conservatives want to slash UKRI’s budget by £6 billion, which would wipe out all our funding for AI, advanced manufacturing, life sciences and much more. We are backing our defence sector, with 10% of the defence equipment budget going on backing UK businesses—the Tories would slash the funding on which they depend.

I call the Liberal Democrat spokesperson.

UK Research and Innovation funding will continue to be undermined if the Government’s own procurement strategy sees billions going to companies outside the UK, such as Palantir in the US, when British tech has the solutions. Although we welcome the announcement of AI investment funding, it pales in comparison with the ongoing procurement investment. Will the Government back Liberal Democrat amendments to the Cyber Security and Resilience (Network and Information Systems) Bill for a comprehensive digital sovereign strategy, backing British tech, research and innovation, which is vital for both our economy and our national security?

I am proud of this Government’s plan to back UK AI companies and our sovereign capabilities, with £500 million backing our new sovereign AI unit and £1 billion of free compute for British researchers and scientists. We are also overhauling Government procurement to ensure that we back innovative tech companies in the UK, both big and small. That is the way forward to seize the opportunities for growth and secure our sovereign capabilities.