Key facts
- UK risks falling behind in global tech race due to cautious government approach.
- Watchdog urges government to take greater risks and equity stakes in startups.
- UKRI's intellectual property policy deemed "far too cautious".
- Regional divide in research funding persists, with Greater South East receiving half of UKRI funding.
- British companies find it harder to secure investment than US counterparts.
Britain risks losing its competitive edge in the global technology sector due to a government that is "far too cautious" in its approach to backing startups, according to a report by the Public Accounts Committee (PAC). The PAC is urging the government to be more entrepreneurial and take greater risks, including increasing its equity stakes in innovative companies that receive public funding.
The report highlights concerns that UK Research and Innovation (UKRI) is not adequately ensuring that taxpayers benefit from public investment in cutting-edge research. While UK universities generate a significant number of spinout companies and patents, the monetization of this intellectual property is described as patchy. The PAC suggests that UKRI's current policies on intellectual property are too conservative and could hinder company growth.