As of 2023, the UK's R&D expenditure stood at 1.62% of GDP. Forecasted growth in R&D expenditure shows a gradual increase, with values reaching 1.71% by 2028. This represents a steady year-on-year increase. The compound annual growth rate (CAGR) over the forecast period is approximately 1.07% from 2024 to 2028. Such growth suggests a consistent commitment to innovation and technological advancement within the UK economy.
Future trends to watch for:
- The UK's ability to maintain or increase investment amidst potential economic challenges, such as inflation or changes in political climate.
- Impact on different industries, particularly technology and pharmaceuticals, translating increased R&D investment into tangible advancements.
- The effects of governmental policies and incentives promoting R&D activities and their sustainability.
