Lord Willetts debates involving the Department for Science, Innovation & Technology during the 2024 Parliament

Science and Technology: Economy

Lord Willetts Excerpts
Thursday 31st October 2024

(3 weeks, 3 days ago)

Lords Chamber
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Lord Willetts Portrait Lord Willetts (Con)
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Quite right. My Lords, I congratulate the noble Baroness, Lady Freeman, on her excellent maiden speech; we look forward to many more of her interventions in the House. I also congratulate the noble Viscount, Lord Stansgate, for such an excellent opening to the debate, displaying his typical enthusiasm and making a subtle case for the hereditary principle.

I should declare my interests, particularly as chair of the UK Space Agency. I am also a member of this club of former Science Ministers, which has been referred to several times. It is great to see the noble Lord, Lord Drayson, in his place; we look forward to his speech. There is a very crude view of the role of the Science Minister: to extract money from the Treasury. I am sure that the noble Lord, Lord Vallance, has a much higher and more strategic view of his role than that, but he nevertheless did very well this week and I join those congratulating him on seeing off what looked like a significant threat.

I congratulate the noble Lord also on the speed with which the funding for science announced yesterday is already moving. There was an announcement of £520 million for the life sciences innovative manufacturing fund; it was up on the Government’s website by midnight, with the first round of applications for grants now open, with a deadline of 30 November. That is an excellent example of moving vigorously in an innovative environment. I hope, in that spirit, that the Minister will commit that the Government will indeed be implementing my proposals on improving the business case process so that it is similarly efficient and fast-moving, rather than cumbersome and bulky. We must not be complacent, however. There are of course challenges to face in the CSR, and we wish the Minister the best on that.

I would like very briefly to put three specific points to the Minister. First, cell and gene therapies are a great British scientific and technological success. However, they are suffering from the very uncertain VAT regime for cell and gene therapies sold to the NHS. HMRC defined these therapies as “work on goods”, apparently on the argument that the cells start from the human body and are eventually returned to the patient’s body and, in the meantime, they have just had a service, rather like a car going into a garage. In some cases, VAT is charged at 20%, which, in turn, affects the NICE calculations of the cost-benefit ratio in these treatments. Sometimes they are exempt. The best way forward would be for all these treatments to be clearly zero-rated and treated consistently.

My second point, if the Minister is able to comment, is that yesterday we also heard in the Statement from the Chancellor very good news on investment in the railway link between Oxford and Cambridge. Progress is gradually being made in the recreation of the old Varsity line, although it is a pity that there is a large housing estate somewhere between Bedford and Cambridge on the route of the original line.

Can the Minister confirm that, with this investment in transport, there will also be a recognition of the value of the Oxford-Cambridge supercluster and an attempt, alongside the claims of many other parts of the UK, to recognise and support that?

Finally, if he were here, I think the noble Lord, Lord Knight, would make an important point about investing in science teaching. The Government make a lot of the 6,500 new teachers. It is equally important and, in some ways, more cost-effective to invest in upskilling and retaining the teachers we have already have. Improving CPD for science teachers, so that they remain up to date, would be of great value.