Science and Research

Debate between Graham Stringer and Paul Blomfield

Wednesday 24th June 2015 Westminster Hall

[Paul Blomfield]

The fundamental problem in relation to private sector investment in R and D is the dominant culture of short-termism in investment. People are looking for quick gains, but what we need to rebalance our economy is the long-term investment that drove economic growth in this country in the first place.

Echoing the point that my right hon. Friend the Member for Oxford East (Mr Smith) made, according to a report produced by CaSE last year, “The Economic Significance of the UK Science Base”, private sector R and D output rises by 20p per year in perpetuity for every £1 spent by the Government on R and D, so there is a real return on public sector investment and it stimulates the private sector investment that the hon. Member for Upper Bann (David Simpson) referred to by raising the UK’s knowledge base.

That is the real challenge, but there are also real opportunities, because as a country we have enormous strengths, above all our universities, which are highly productive. To echo again the point that my right hon. Friend the Member for Oxford East made, despite representing only 4.1% of the global research community, UK researchers produced 15.9% of the world’s most highly cited papers in 2011, the last year for which I have figures available. That puts us at No. 1 in the world in the sector. Crucially—I make this point as a northern MP—at a time when we all share a concern about the regional imbalance of economic growth, universities are one of the few assets we have that are spread evenly across the country, and they are able to generate economic growth in all regions and all nations of the UK.

Clearly, universities draw their investment widely, from several sources, and not just from public funds. They have grown their own investment in R and D by 40% in the past decade and now generate more than £3.4 billion a year. However, public investment levers in other funding, and academics in receipt of research council grants have been shown to be more outward-facing and more engaged in the commercial application of their research.

The strength of that research in our universities attracts foreign investment to the UK, as well as international students. According to a British Council survey of 5,000 18 to 34-year-olds from China, India, Brazil, Germany and the US, the fact that the UK had world-leading academic research was the primary attraction for them to come here and study in our universities. Those international students bring more than £10 billion of economic benefit to the UK, including to our regional economies. I know that in Sheffield alone the net value of our international students, who are approaching 9,000 in number, is £120 million a year. Thousands of jobs depend on that money, and not just in the university sector.

[Graham Stringer (Blackley and Broughton) (Lab)]

My hon. Friend is making a profound point about the impact that our first-class universities have on regional economic development. However, is he as concerned as I am that more than 90% of non-university research in the UK takes place within the golden triangle of Cambridge, Oxford and London, which means that, outside universities, the regions are starved of scientific investment?

[Paul Blomfield]

I am indeed, and my hon. Friend—a fellow northern MP, albeit on the wrong side of the Pennines—makes an important point.

[Graham Stringer]

I went to university on the other side.

[Paul Blomfield]

Indeed—I know that my hon. Friend is proud to be a graduate of Sheffield University. He makes an important point, and we need to be careful that even with the positive developments such as the Francis Crick Institute in London, public investment in research does not get sucked into the golden triangle that he referred to at the expense of universities around the country. As I said a moment ago, the great strength of our university network is its dispersal around the country. We need to ensure that funding for research is spread across the sector and across the country.