Business News Round Up (09/06/2025)
UK Government unveils £86bn funding package to boost the science and technology sectors
The government’s Spending Review is set to include an £86bn boost for the science and tech sectors, which will enable local leaders to develop ‘innovation clusters.’ The package will help to explore new drug treatments and longer lasting batteries, as well as AI breakthroughs. It aims to drive new jobs and economic growth as well as ensuring the UK leads the way in pioneering the technologies of the future. The new R&D package will mean local leaders have government backing to develop ‘innovation clusters’ across the country. Through the Local Innovation Partnerships Fund, leaders will be given the powers to decide how to target their research investment in the region and make the most of skill sets of the community. The new funding will build on work already underway to transform local communities through the Innovation Accelerator pilot scheme – a new funding approach and partnership between local authorities and government.
Financial services firms choose Scotland as UK falls
Scotland continues to secure above average levels of inward investment from overseas financial services companies, despite a sharp fall in the overall UK figure. Strength in areas such as artificial intelligence, data, and green finance is contributing to Scotland’s success in attracting investment. New figures for 2024 show Scotland up two projects to a decade-high 11, making it the top location outside London with 39. Edinburgh secured six, the joint top city with Manchester, outside the UK capital. Scotland’s rise contrasted with a fall in the UK total to 73 from 108 in the previous year. However, the UK continues to outpace Europe which saw an 11% fall to 293 from 329. Also, the UK’s total is more than double second-placed Germany, which recorded 32 – a 16% decline from 38. France fell to third position with a 23% slump to 30 from 39.
Scotland suffers worst digital exclusion in UK connectivity
Scotland is massively disproportionately affected by digital exclusion when it comes to connectivity, with many rural communities left without usable internet access. This is according to research from Broadband Savvy, which mapped every single residential premises stuck with slow broadband to visualise digital exclusion across the UK. The research found that Scottish premises were more likely to suffer from poor broadband, especially in more remote and rural communities. Compared to England, Scottish residents are four times more likely to have unusable broadband in Scotland. In Scotland, one in 278 premises cannot get decent broadband, compared to 1 in 244 in Wales, 1 in 476 in Northern Ireland, and just 1 in 111 in England. The Orkney Islands have the worst broadband of any UK local authority, while the Shetland Islands are second worst, with Shetland West having the worst broadband of any UK Electoral Ward.
https://www.digit.fyi/scotland-suffers-worst-digital-exclusion-in-uk-connectivity
New nuclear powers £20bn boost for UK economy
The latest Economic Impact of the Civil Nuclear Industry report, compiled by Oxford Economics and commissioned by the Nuclear Industry Association, shows the sector generated an extra £4.2bn in gross value added in 2024 compared to 2021. Each nuclear sector employee contributed an average of £92,000 in GVA to the economy, almost twice as high as the average UK worker, reflecting the highly skilled nature of the workforce. The total number of jobs supported by the sector is 256,000. In the South West 27,000 direct jobs are supported, with the region seeing a 50% jump in GVA to £4bn since 2021. In the East of England the regional GVA from nuclear grew by a fifth to £1.2bn, supported by a workforce of 2,300, 27% bigger than in 2021. Some £4.1bn in GVA was contributed by the sector across the region in 2024.
https://www.themanufacturer.com/articles/new-nuclear-powers-20bn-boost-for-uk-economy