Invest 2035 makes tech a priority

The UK Government has published its keenly anticipated Industrial Strategy, marking the most significant economic intervention in seven years with a £100+ billion commitment that aims to transform Britain's economy over the next decade. Focused on creating 1.1 million well-paid jobs while positioning the UK as "the best country to invest in and grow a business", Invest 2035 represents a decisive shift from previous approaches. The strategy moves away from the address of broad challenges to targeted sectoral intervention. Technology is positioned as both an area of priority focus in its own right and a critical enabler for growth across other industries.

The strategy targets eight "growth-driving sectors" (IS-8) with are viewed as having the highest potential to boost productivity and create high-value jobs. These are Advanced Manufacturing, Clean Energy Industries, Creative Industries, Defence, Digital and Technologies, Financial Services, Life Sciences, and Professional and Business Services. There will also be a wider focus on creating a pro-business environment, which will take into account both targeted measures and cross cutting policies to tackle barriers to investment across issues such as research and development, data, technology.

As a part of Invest 2035, the government has allocated substantial funding across multiple technology domains. These include a £2bn AI investment over next four years, of which £1bn has been earmarked for sovereign AI compute capacity, £670m for quantum computing and £187m aimed at training one million people in tech skills through the Tech First initiative. The strategy will also see the launch five new professional business services hubs in England and Scotland focused on supporting the growth of technology services firms. Further details of the specific actions planned for the Digital and Technologies sector are covered in an accompanying HotViews article (see here).

The UK Industrial Strategy 2025 provides some much-welcomed certainty for organisations operating, or considering operating, in the UK. There remain, however, substantial risks to its delivery, from immediate skills shortages limiting expansion capacity to global trade conflicts threatening export markets. The success of Invest 2035 will ultimately depend on the building of an effective partnership between government and business, sustained political commitment over the 10-year timeline, and the skilful navigation of global economic headwinds.

Posted by: Duncan Aitchison at 10:02

Tags: policy   government   technology