Figures Show Confidence in UK Biotech Sector

A report published by the UK BioIndustry Association (BIA) and Informa Pharma Intelligence reveals that the UK biotech sector raised a record £2.2 billion from investors in 2018. The total is the best ever recorded by the trade association and almost double that raised in 2017.

The data is presented in the report ‘Confident capital: backing UK’ which was launched by the Exchequer Secretary to the Treasury, Robert Jenrick MP, at the BIA's Strategic Technologies event in central London (Jan 24). Highlights include:

£2.2bn was raised by UK-based biotech companies in 2018, compared to £1.2bn in 2017

Over £1.1bn of venture capital was invested into UK biotech companies

Over £1bn was raised on public markets: £432m in Initial Public Offerings (IPOs) and £658m in all other public financings

Across Europe, UK companies accounted for 40% of all biotech venture capital raised and 45% of funding raised through IPOs

Venture capital deal rounds were larger than previous years and there were more late-stage post-B rounds, showing companies are choosing to stay private for longer

The figures show that global investors continue to see the quality of the science and businesses in the UK as a great investment opportunity. The UK is the leading life sciences cluster in Europe and continues to challenge clusters in California and Massachusetts.

Steve Bates OBE, BIA CEO, said: “The UK biotech ecosystem is a key engine of innovation that is delivering jobs, economic growth and most importantly, life-changing new treatments for patients. Our data shows global investors see this value and want to be part of the UK’s exciting and fast-growing biotech opportunity.

“Our sector’s success is underpinned by a long-term industrial strategy led by the UK Government. Investor confidence is a direct reflection of the commitment the Government has made to the sector throughout 2018 and in previous years. We must keep this momentum going if we are to continue to attract global money into our young and scaling companies.”