Economic issues for the UK biotechnology sector

This paper examines the economic prospects for the biotechnology industry, focusing on the UK position. I discuss some economic issues relating to the structure of the biotechnology industry and examine whether these factors can account for the relative success of the biotechnology sector in the UK compared to other European countries. I emphasize the importance of the science base, pharmaceutical companies and capital markets in giving the UK an advantage. Looking ahead I argue that prospects are good for the global growth of the industry due to supply and demand side factors. The UK is in a leading position in Europe but faces significant dangers, especially from the public towards biotechnology.