Industry applauds revived government support for Ox-Cam Arc

The life sciences community has welcomed the government’s commitment to blow the dust off the strategic plan to support the Oxford-Cambridge region. The move comes after industry players issued a joint call to reverse the “brain drain” away from Britain by nurturing homegrown talent and attracting “the best and brightest” from across the globe. Three years ago, the region became a victim of the levelling-up agenda, which encouraged research and development investment outside of the Ox-Cam Arc and the South East.  In contrast to the vision outlined by the Conservatives, Labour plans to focus on doubling the economy of the science-rich region by 2035, projecting a £78bn cumulative boost to UK GDP. Artem Korolev, chief executive at Mission Street, said: “The government’s commitment to put the Ox-Cam Arc back on the table is, we hope, a forerunner to concrete policy.  “A holistic strategy that spans the wider Arc region is critical to capitalising on the research excellence in Oxford and Cambridge with a critical mass of businesses, investment, homes and infrastructure capable of competing with the world’s leading ecosystems.” Although no new funding was proposed for the Arc, some existing initiatives, including the government’s commitment to revive the East-West Rail project connecting Oxford and Cambridge, are expected to stimulate the growth in the region. Rory Maw, chief executive at Oxford Science Park, said: “The commitment in last year’s Autumn Statement to East-West Rail is welcome but we now need to see an accelerated timetable for the Cowley Branch Line so that key [innovation] centres are directly linked to the wider network.” William Rooke, partner at Carter Jonas, said: “I would encourage the government to focus investment on infrastructure in the two cities themselves. Cambridge in particular is crying out for investment in transport, utilities and housing to unleash its potential.” Philip Campbell, commercial director for Milton Park at MEPC, added: “Adopting a place-based approach to infrastructure requirements will be the most effective way to unlock the region’s potential.” Richard O’Boyle, chief executive at Pioneer Group, also echoed the view, adding that “the right support” is key in unlocking the potential of the Ox-Cam Arc. He said: “We need investment, better infrastructure, and policies that support growth. “The Mansion House 2.0 reforms are a great opportunity to drive more private capital into this high-growth region, helping turn world-class research into successful businesses and high-skilled jobs.” Industry players have signalled that in addition to the transport network, access to pension fund capital and housing have a key role in enhancing the country’s science-related growth prospects. Currently, just 0.5% of defined contribution pensions are allocated to unlisted UK equities, among which are the science and technology businesses. The most recent data from Savills revealed that take-up of science-related space in the Arc fell by more than a third in 2024 owing to the weaker funding market impacting occupier demand for laboratory space. As such, the government mooted its intention to work closely with the Oxford-Cambridge Supercluster Board, which represents many of the largest investors in UK science and technology, to fast-track the region’s growth through policy interventions, including reforming the planning system. Nick Pettit, senior partner at Bidwells, said: “The reality is that small policy changes are all it takes for this region to make a difference to its contribution to national growth.” Stuart Grant, chief executive at Advanced Research Clusters, added: “The region’s potential is truly extraordinary, but unlocking this potential demands a strategic, comprehensive approach that brings together government, industry, and academic leaders.” Photo by Pexels/Pixabay