The Association of the British Pharmaceutical Industry has warmly welcomed the Chancellor of the Exchequer’s announcement that the Government will review the Entrepreneur’s Relief (ER) scheme which has the potential to boost the UK innovation landscape for spin-out pharmaceutical companies.
The ABPI called for such a review in our budget submission to the Chancellor earlier this year. This particular recommendation was developed in collaboration with OBN, the membership organisation that brings together the UK’s emerging life sciences companies, corporate partners and investors.
Welcoming the announcement ABPI Director of Government and External Affairs Audrey Yvernault said:
“We are delighted that the Government has listened to industry by agreeing to review this scheme. We called for Entrepreneurs Relief (which applies to Capital Gains Tax) to be amended as it is particularly necessary for successive rounds of investment in life science companies. It is encouraging that the Government is examining this in order to support UK innovation”.
Commenting on the announcement OBN Chief Executive Jon Rees said:
“OBN warmly welcomes the Government’s proposal to review the Entrepreneurs Relief treatment of founders of companies that use intellectual property to which they have contributed, as we suggested. We would strongly urge Government neither to limit the amendment to spin-outs but all start-ups, nor limit it to academic founders, in the interests of enhancing the investment environment for the UK’s Life Sciences sector.”
The ABPI represents innovative research-based biopharmaceutical companies, large, medium and small, leading an exciting new era of biosciences in the UK.
Our industry, a major contributor to the economy of the UK, brings life-saving and life-enhancing medicines to patients. Our members supply 90 per cent of all medicines used by the NHS, and are researching and developing over two-thirds of the current medicines pipeline, ensuring that the UK remains at the forefront of helping patients prevent and overcome diseases.
The ABPI is recognised by government as the industry body negotiating on behalf of the branded pharmaceutical industry, for statutory consultation requirements including the pricing scheme for medicines in the UK.
OBN is the Membership organisation supporting and bringing together the UK’s emerging life sciences companies, corporate partners and investors. OBN’s vision is creating and developing an environment which supports the emergence and growth of innovative life sciences R&D companies. Our 350-plus Member companies includes many R&D companies (therapeutic, medical technology and diagnostics), who are located across the Golden Triangle formed by the cities of Oxford, London and Cambridge and beyond to Nottingham, Manchester and Scotland benefiting from our networking, partnering, purchasing, advising and advocacy activities. Further information about OBN’s tailored networking and partnering events, purchasing consortium, advice, consultancy services and advocacy activities is available on OBN’s website.
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