Optimistic: Emma Walmsley says the UK is ‘uniquely placed’
GSK will plough hundreds of millions of pounds into the UK in the next two years, The Mail on Sunday can reveal.
The investment of more than £200 million between 2023 and 2025 will be used to improve the pharmaceutical group’s UK sites, including constructing new facilities and assembly lines.
The FTSE 100 giant, meanwhile, is embarking on a £67 million upgrade project for one of its factories in Scotland. The revamp at Montrose in the east of the country will help GSK improve production of the ingredients used to make a range of medicines.
Regis Simard, head of global supply chain, said: ‘GSK has a proud heritage of making innovative medicines in the UK.
‘Our six UK manufacturing sites, including Montrose, are an important part of our global manufacturing network and we’re continuously investing in science, technology and skills to deliver medicines faster and more efficiently.’
GSK’s investment spree follows an upbeat assessment from chief executive Dame Emma Walmsley on the UK economy, in a powerful counterblast to doom-mongers.
Walmsley, 54, said earlier this month that Britain was ‘uniquely placed’ to perform well in life sciences due to its high concentration of academic skill and high-profile companies.
She added that she is a ‘great optimist about the UK’ and that the NHS gave Britain an advantage, particularly with the ‘power’ of its vast archive of patient data which could potentially be used to help develop new treatments. Aside from the investment plans, GSK is preparing to open a new headquarters in central London later this year.
It is also preparing to kick off production at a £65 million global facility at its site in Ware, Hertfordshire which was opened in September last year. Additionally, it is pushing ahead with plans to construct a life sciences hub in Stevenage in a £900 million venture with other firms including Swiss investment bank UBS which is estimated will create 5,000 jobs. The campus is expected to open next year.
GSK, which is valued at £65 billion, has also been on a shopping spree. The group last week snapped up asthma drug maker Aiolos Bio in a deal worth over £1 billion.
GSK’s investment in Britain contrasts with arch rival AstraZeneca, which has recently favoured other locations. Astra boss Pascal Soriot caused a stir after saying last year that the UK’s ‘discouraging’ tax system was behind a decision to build a £330 million factory in Ireland rather than north west England.
Soriot attacked the UK once again in April when he said it is ‘very unattractive for companies to invest,’ He is instead prioritising China as a growth area
GSK’s plans also provide a boost for the Government and Chancellor Jeremy Hunt, who has touted life sciences as one of the UK’s key industries. In his Autumn Statement in November, he outlined measures which included around £520 million for the UK’s life science industry as well as changes to tax credits for research and development work.
