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Research: Finance

Volume 458: debated on Tuesday 13 March 2007

To ask the Secretary of State for Trade and Industry what progress has been made on achieving the European Union target of three per cent. of GDP being allocated to research and development investment by 2010; and if he will make a statement. (126678)

[holding answer 12 March 2007]: The aspiration for investment in R&D across EU countries to reach 3 per cent. of GDP by 2010 is a challenge for Europe as a whole. But it is not necessarily appropriate for an individual member state.

In the light of UK circumstances, the 10-year Science and Innovation Framework set out a long-term ambition to see the total R&D to GDP ratio in the UK increase to 2.5 per cent. of GDP by 2014. The R&D measure is the Gross Expenditure in Research and Development (GERD), which is the sum of R&D performed in business (BERD) and public expenditure on R&D, by Government Departments and higher education.

The latest available GERD and BERD figures for the UK and the EU are in the following table.

GERD as per cent of GDP

2003

2004

United Kingdom

1.8

1.7

EU25

1.8

1.8

EU15

1.9

1.9

BERD as per cent of GDP

2003

2004

2005

United Kingdom

1.1

1.1

1.1

EU25

1.1

1.1

1.1

EU15

1.2

1.2

1.2

To ask the Secretary of State for Trade and Industry what assessment has been made by his Department of the possible effect on international competitiveness in (a) biosciences, (b) engineering sciences and (c) medical research of the 2007-08 reduction in funding to the UK Research Councils; and if he will make a statement. (126679)

[holding answer 12 March 2007]: In order to help to manage the significant pressures on the Department's budget in 2007-08, a decision has been made to use some of the accumulated unspent funds within the science budget. This decision will not affect research projects which are already being funded.

The UK has a strong track record in research excellence, and benefits from a consistently good performance across disciplines. On the basis of an independent report, it is currently ranked second in the world in biosciences and health-related sciences, and fourth in engineering. The report is available on the DTI website at:

http://www.dti.gov.uk/files/file27330.pdf

To ask the Secretary of State for Trade and Industry whether he plans to assess the impact on scientific research of the planned reduction in funding to UK Research Councils in 2007-08; and if he will make a statement. (126680)

[holding answer 12 March 2007]: In order to help to manage the significant pressures on the Department's budget in 2007-08, a decision has been made to use some of the accumulated unspent funds within the science budget. This decision will not affect research projects which are already being funded. The sum in question amounts to less that 1 per cent. of the nearly £10 billion awarded to science over the three-year spending period.

I refer the hon. Member to the answer I gave on 2 March 2007, Official Report, column 1602W.