“Not a Good Place for Development”: UK’s R&D Appeal Fades for Pharma

The UK’s long-held appeal as a premier destination for research and development is fading fast, with a top pharmaceutical executive declaring it is “not a good place to do the development work for medicines.” This damning assessment from Sanofi highlights a growing crisis in the country’s ability to attract and retain cutting-edge medical research.
This sentiment is being backed by decisive action. Sanofi has reduced its clinical trial activities in the UK by a staggering 50%. More dramatically, MSD has completely abandoned its £1bn R&D center in London, a project that was meant to be a flagship for the UK’s post-Brexit scientific ambitions.
The industry blames a combination of high operating costs and a poor commercial market for new drugs. They argue that the low prices offered by the NHS and a punitive “clawback” tax on revenues make it impossible to justify large-scale R&D investments that could be placed in more profitable markets like the US.
While the UK’s foundational science and university research remain strong, the country is failing to provide the commercial framework needed to translate those discoveries into developed medicines. The government is now under pressure to reform its policies or risk a permanent decline in its R&D capabilities.