Science and Technology: Economy

Viscount Camrose Excerpts

Thursday 31st October 2024 Lords Chamber

[Viscount Camrose (Con)]

My Lords, it has been an absolutely brilliant debate, and I join others in thanking the noble Viscount, Lord Stansgate, for bringing it forward. I also join others in congratulating the noble Baroness, Lady Freeman. Many years from now, eventually “Walking with Dinosaurs” will be a fantastic title for her memoir, but we are not there yet. I have been asked to slightly curtail my remarks and I am very happy to do that. I hope noble Lords will forgive me if I do not reflect on everything that has been said in the debate, but rather offer, just to begin with, some of my personal highlights from what I heard.

As a theme, it is clear that we are as one in deeply recognising and valuing the contribution that science and technology can and will make to our economy. Sadly, and frustratingly, many different approaches have been advanced as to how we can best finance that. I hope that we can be on the path of constant improvement to get more investment into this crucial space. I noted a sense of ruefulness from my noble friend Lord Willetts as he said that the role of the Science Minister was to extract money from the Treasury; I am pleased to say that we have somewhat moved on from this position.

I was very struck by the noble Baroness, Lady Neville-Jones, reminding us of the growing importance of international rivalry in this space. I think that is going to play an increasing part in our deliberations here.

The noble Lords, Lord St John of Bletso, Lord Tarassenko and Lord Drayson, asked, one way or another: where are our Metas or Alphabets? It is a question that certainly bugs me. Let us hope that, between us, we can move towards more of an answer. The noble Baroness, Lady Bowles, spoke powerfully about the issue of IP retention in universities, and that is clearly something we need to continue to look at.

The noble Lord, Lord Lucas, raised the issue of standards and regulations. There are not many silver bullets in technology regulation, but standards will be one of them. International global standards, particularly for instance with the copyright issue in AI, are going to be a big part of that solution.

I absolutely share the wish of the right reverend Prelate the Bishop of Newcastle to foster a faster-growing tech community in the north-east of England. If I may, I commend to her the work of the brilliant organisation CyberNorth; she may know it already.

Innovation is not merely an advantage; it is the foundation of economic growth and global competitiveness. Science and tech are no longer confined to laboratories or research institutions; they are part of the fabric of almost all the work we are doing of any kind across this country.

As of last year, we are one of three countries in the world with a trillion-dollar tech sector. Today, that sector contributes £150 billion annually to the UK economy, a figure that reflects not only the sector’s rapid growth to this point but its remarkable potential for expansion. With emerging fields that have been mentioned many times—quantum AI, engineering biology, and so on—we have the opportunity to cement the UK’s status as a global leader in scientific and technological innovation.

Of course, the contributions of science and tech, as I enjoyed hearing from the noble Baroness, Lady Bennett of Manor Castle, are not limited to economic growth. They enhance our resilience in the face of global challenges. I frequently argue that for all the amazing scientific advances we have seen over recent years, perhaps the most impactful was the development of the Covid vaccine, which I think we can all agree underscored, among other things, the power of UK-led scientific innovation, saving lives and demonstrating the critical impact of robust scientific infrastructure.

Investment in science and technology is also an investment in the workforce of tomorrow. The noble Lord, Lord Mair, and others raised this point very powerfully, as did my noble friend Lord Willetts and the noble Lord, Lord Taylor of Warwick. By prioritising education in STEM fields and by fostering partnerships between industry and academia, we are equipping future generations with the skills and knowledge required to thrive in a rapidly evolving landscape. It is not only essential for individual opportunity but vital to our ongoing economic competitiveness.

I want to address some pressing concerns raised by yesterday’s Budget. The Chancellor announced a significant allocation of £20.4 billion for research and development, including £6.1 billion aimed specifically at protecting core research funding. There is no doubt that this funding is crucial for advancing the core of our scientific curriculum. However, the research community has expressed some apprehensions regarding the implications of this. The Budget allocates an increased £2.7 billion for association with EU research programmes and covers the cost of the old Horizon Europe guarantee scheme. This means we are committing with this money not only to new funding but to managing the cost of past obligations. I would welcome some clarity from the Minister on how this is going to break down.

Further, as raised by my noble friend Lord Waldegrave, the abruptness of the decision over the summer to cancel the exascale computing investment—which was, by the way, fully funded through DSIT’s budget, contrary, I am afraid, to statements from the Government that I have heard from time to time—must stand as a significant red flag to AI investors, if only for its unexpectedness and suddenness. When we take this together with the additional costs and risks of hiring staff, the reduction of incentives to invest in technology and the—in my view, rather aggressive—treatment of non-domiciled investors, I think we have grounds for concern. I wonder whether, when the Minister rises, he could tell us to what he attributes our leadership today in science and tech. Is he concerned that these decisions may diminish that leadership and, if so, what do the Government propose to do about it?

That said, I am keen to close on a note of excitement and positivity. Ray Kurzweil, of “singularity” fame, argues that the time between major advances in science and technology diminishes exponentially. If he is right, the technologies available to us at the end of this Parliament will be truly staggering. So let us all be working together to make sure that as many of those breakthroughs as possible are delivered and safely exploited in this science and tech superpower, the United Kingdom.