Venture Capital/News/ UK government unveils £360m plan to become ‘tech superpower’ But is it enough? By Amy Lewin 6 March 2023 Michelle Donelan Michelle Donelan \Startup Life Techstars unexpectedly pulls out of Sweden mid-programme By Mimi Billing 23 March 2023 Venture Capital/News/ UK government unveils £360m plan to become ‘tech superpower’ But is it enough? By Amy Lewin 6 March 2023 The British government has today announced a new £360m plan to increase investment in innovation, attract talent to the UK and position the country as a “science and technology superpower by 2030”. The plan, dubbed the Science and Technology Framework, includes a £250m pot to invest in AI, quantum and biotech, £9m to help establish a quantum computing research centre and an extra £50m to help universities and research institutes improve their lab facilities. The framework also mentions plans to set up a “supercomputer facility” to work on groundbreaking technologies like nuclear fusion and AI, and plans to create “hundreds of new PhDs for AI researchers”. The newly created Department for Science, Innovation and Technology will lead on the plan. Many will question whether that’s enough funding to achieve such lofty goals, however. Several other European governments have announced similar plans recently — backed with much more capital. In February, Germany launched a €1bn fund to invest in deeptech and climate tech companies. In January, French state bank Bpifrance promised another €500m to deeptech startups. Poland and the Czech Republic (both far smaller startup ecosystems than the UK, France or Germany) have each set up funds to support innovative new companies recently too. R&D tax credits Despite this plan to boost innovation, the UK government has not budged on its proposed changes to its R&D tax credit scheme — an area of real contention with British startups. If the changes go ahead, they will reduce the amount of R&D spend startups can claim back from 33% to 18.6%. A survey run in January by startup advocacy group Coadec found that startups expect to lose more than £100k, on average, as a result of the changes. “Cuts to the R&D tax credits scheme would mark an extremely worrying reversal of the UK’s ambition to be a leader in digital innovation,” said startup founder Tessa Clarke, CEO of Olio, in a statement at the time. Related Articles How to speak with investors, a VC glossary By Chris Sisserian Click here to read more Time to stop using the term BAME By Erika Brodnock and Johannes Lenhard Click here to read more Bouncing back from failure: Four bits of advice for phoenix entrepreneurs Sponsored by Silicon Valley Bank Click here to read more The future of work “soonicorns” By Miriam Partington in Berlin Click here to read more Most Read 1 \Startup Life UK government to reform ‘equity for visas’ residency application system 2 \Fintech Is Revolut really worth $33bn right now? 3 \Startup Life Techstars unexpectedly pulls out of Sweden mid-programme 4 \Deeptech The other funding gap: it’s not just unicorns that are leaving Europe 5 \Deeptech ‘There’s going to be a bloodbath’ — is generative AI a bubble?