£30 Million Boost to Power Next Wave of UK Innovation Spinouts

The UK government has announced £30 million in new funding to accelerate the growth of spinout companies—innovative businesses emerging from research institutions—across four regional hubs in Merseyside, East Anglia, the Midlands, and Northeast England.

Despite the UK’s strong track record in research and development, many groundbreaking ideas struggle to reach the market due to red tape, skills shortages, and funding barriers. The funding, delivered through Research England, will help break down these barriers and equip public sector researchers with the tools needed to transform research into viable, investment-ready businesses.

On a visit to Aston University, Science Minister Lord Vallance said:

“The UK is home to some of the world’s best universities… But we must do more to unlock scientific research’s vast economic potential. The funding and guidance announced today will reinforce those efforts.”

Each regional hub will focus on a key strength:

• SCENE (North East England) will receive £8 million over five years to build deeper collaboration between universities, businesses, Catapults, and investors—strengthening the region’s commercialisation ecosystem.
• Forging Ahead/Forging Beyond (Midlands) has been awarded nearly £10 million, targeting talent development and skills gaps. The initiative will support sectors like health, advanced manufacturing, net zero, and digital/creative industries.
• BRITE (Merseyside) is set to receive over £4 million to scale up the Liverpool City Region’s life sciences ecosystem, focusing on biologics such as vaccines and treatments for infectious diseases, and strengthening partnerships between academia, industry, and civic leaders.
• ACE (East Anglia and Lincolnshire) will receive close to £5 million to establish a globally competitive Agri-Tech commercialisation cluster, in partnership with organisations such as Barclays Eagle Labs and local LEPs.

To support these efforts, the government will also publish first-ever guidance for the public sector on spinning out companies, giving researchers step-by-step advice to convert discoveries into commercial success.

Ana Avaliani, Director of the Royal Academy of Engineering’s Enterprise Hub, welcomed the move:

“These spinouts drive innovation and represent a crucial and growing component in our economic future.”

The new funding aims to turn research potential into entrepreneurial success, delivering breakthroughs in healthcare, clean energy, and agriculture—and building a stronger UK innovation economy.