There may not have been too many surprises in George Osborne’s 2012 Budget Statement, but there was certainly positive news as the Government continues to show their support for our industry, which Osborne described as one of “Britain’s strengths”.
By doubling this year’s reduction in the rate of corporation tax to 2%, and confirming the introduction of the patent box, an above-the-line R&D tax credit and reform of Controlled Foreign Company (CFC) rules, the Budget will encourage investment in the UK – as CBI Director-General John Cridland explained, it “will help make the UK a more attractive place for companies to invest, do business and create jobs”.
Osborne also highlighted how the UK industry continually punches above its weight, as “around one fifth of the world’s top 100 medicines originate from UK research” – but if we are to maintain our position on the world stage then we need to see Government support continue beyond the budget and into the medicine pricing negotiations, which are set to take place later this year.
The 2012 Budget is a positive step and show of support, but to ensure the UK innovative research industry thrives we need to ensure new medicines reach patients more quickly, and we need to see innovation in medicine fairly rewarded.
Stephen WhiteheadABPI Chief Executive