UK will struggle to meet Innovation Goals without better support for deep tech chemistry SMEs
Greater support is needed for deep tech chemistry companies to help Britain achieve its vision of becoming "a global hub for innovation" by 2035, according to our latest report.
The report, published today, has revealed that more support is needed for deep tech chemistry start-ups and small and medium-sized enterprises (SMEs) to maximise their contribution to the UK economy and help meet the targets set out within the Government鈥檚 ambitious Innovation Strategy.
Deep tech chemistry SMEs play an important role in developing transformational solutions for people and the planet 鈥� including the discovery of treatments for potentially deadly diseases and breakthroughs in fighting climate change.
Despite having the potential to deliver such significant social, economic and environmental benefits, these SMEs often lack adequate external support on which they are heavily reliant. Coupling this with much higher barriers compared to many other SMEs in the UK, these deep tech chemistry companies have very difficult journeys to commercialise their technologies and realise their impact.
These barriers cover many aspects along different stages of this journey, including access to finance and affordable chemistry facilities, underdeveloped leadership and management skills, and increased difficulties for those based outside the 鈥楪olden Triangle鈥� of Oxford, Cambridge and London, due to limited access to equipment, skills, networks, investors, and employment mobility.
Dr Helen Pain, 欧美AV Chief Executive, said: 鈥淐hemistry-led innovation is making a critical contribution to the solutions we need for our future economy and creating a healthier, more sustainable world for us all. From clean, affordable energy and tackling disease to sustainable agriculture, recycling and reuse technologies 鈥� chemistry underpins them all.
鈥淒eep tech SMEs play a crucial role in driving forward that innovation, but the journey from idea to commercialisation 鈥� which typically lasts between five and 20 years 鈥� is particularly challenging.
鈥淲e鈥檙e proud to have supported many chemistry SMEs for nearly a decade, and that鈥檚 a really important part of the 欧美AV鈥檚 work. Our aim now is to start a conversation on how we can better support deep tech SMEs, looking at what government, public sector funders and others in the innovation ecosystem 鈥� including the 欧美AV 鈥� can do to help them fulfil their potential.鈥�
Gathering expert opinion
We gathered an expert panel to launch the report, including representatives of growing deep tech chemistry SMEs, venture capital investors and the UK鈥檚 national innovation agency.
Speaking at the launch event, Paul Mason, Director of Innovate UK, reflected on the report and the value of one of the sectors deep tech chemistry SMEs have applications in. He said: 鈥淐hemistry is a sector that has our attention 鈥� it鈥檚 worth half a million jobs and nearly 拢60billion in exports, it's a really important sector for us and we do care about it. A lot of the messages in the 欧美AV鈥檚 report resonate with us, and we really welcome it.
鈥淚 think if you look at the way the world is changing, there is almost nothing that happens that affects the life of human beings, or anything else that lives on this planet, that doesn't involve chemistry. And there are almost no challenges - whether they鈥檙e to do with our built environment, the ability to move, feed ourselves, generate energy or deliver healthcare 鈥� where chemistry isn't relevant.鈥�
Supporting strategic choices
Jo Slota-Newson is a venture capital investor with IQ Capital, who invests in early stage and growth ventures across deep technology sectors. Of the report, she said: 鈥淚 want to reiterate just how important it is to be supporting SMEs in this sector 鈥� chemistry deep tech SMEs really are involved in so many game-changing industries and solving so many of the grand challenges that they really are the bedrock of innovation.
鈥淭here is so much of an emphasis that goes into STEM skills and training now 鈥� recognising that management is a skill 鈥� creating well-rounded managers and scientists that can actually be the right operators to deliver some of these really difficult innovations. The route of these companies is not linear 鈥� they have really complicated journeys, there are tough strategic choices and they're not going to be solved by having really excellent scientists that have a quick a quick course in generic management training.
鈥淲e need to make sure that our whole education system really fosters creativity, broad thinking and wide experience to scale up our SMEs.鈥�
Read the full report, which highlights the contribution made by chemistry SMEs, the challenges they face and a support action plan to help innovative companies thrive.