A report commissioned by CaSE examining the contribution of the UK science base to our economy at the level of industry, universities and individual researchers.
This new independent report for CaSE shows that investing public money in science and engineering is good for the economy. The report looks in detail at the relationship between public funding of science and engineering and three levels of economic activity: total factor productivity growth in industries; ability of universities to attract external income; and interaction between individual researchers and the wider economy.
For every £1 spent by the government on R&D, private sector R&D output rises by 20p per year in perpetuity, by raising the level of the UK knowledge base.
This effect would be larger if the extra public spending on R&D attracted additional private spending on R&D as the report suggests.
There is a strong positive correlation between public-sector funding and private involvement in research both for universities and individual researchers.
Public investment in research increases total factor productivity growth at industry level.
The quality of a nation’s science base is an attractor for multinational R&D businesses.
The report was commissioned by CaSE and funded by a consortium of CaSE members: British Pharmacological Society, The Geological Society, The Institution of Engineering and Technology, Institute of Physics, The Royal Society of Chemistry, Society of Biology.
CaSE, in conjunction with the funders of the report, wrote a two page briefing note that accompanies the report.