Examining the performance of the UK’s industrial innovation system

Commissioned by the Department for Science, Innovation and Technology (DSIT), Cambridge Industrial Innovation Policy (CIIP) examined the performance of the UK’s industrial innovation system, from basic and applied research to product commercialisation. The findings are presented in the report What makes the UK industrial innovation system different?, supported by two technical studies.

The research highlights the UK’s excellence in basic science, mature industrial sectors and strong spin-out culture, while identifying challenges in technology scale-up, manufacturing and value capture. It reveals how structural features, sectoral concentration and foreign ownership shape outcomes across R&D-intensive industries.

Key insights show that the UK places greater emphasis on research than its peers, provides uneven industrial support through tax incentives, and depends heavily on certain dominant sectors for scale-up. The report aims to inform strategic policy discussions on strengthening the UK’s innovation ecosystem and long-term economic resilience.

Read more: Explore the report and technical studies