UK leads in Europe for life science foreign investment projects
29 Jun 2025
The UK was Europe overall’s leading European destination for life sciences foreign direct investment (FDI) last year, attracting a total of 86 projects.
The EY UK Attractiveness Survey 2025 shows the country as a whole secured markedly more life sciences projects last year than second place France (68) and third place Germany (35).
In addition, the UK bucked the continent’s year-on-year decline in life science FDI. While Europe attracted 10% fewer life sciences projects (379) in 2024, than the 419 secured in 2023, Britain matched its previous level.
As a result, nearly one in four (23%) European life sciences projects in 2024 were UK based.
Pervaise Khan, EY UK and Ireland life sciences leader, said: “The majority of pharma FDI projects last year involved either manufacturing or R&D activity, and this is exactly the type of investment the UK must continue attracting in order to be a global creator and producer of clinical innovation, rather than just a consumer of it.
“Expanding this section of the UK workforce and offering incentives that encourage businesses to establish strategic operations here will be key in transforming life sciences from an emerging high-growth sector into a mainstay of the UK economy.”
The UK’s life science performance also contrasted with overall UK inward investment for last year which declined 13% in 2024.
However, the report revealed a 31% YoY decline in the level of FDI-related employment in the country’s life sciences FDI projects. These reduced from 2023’s level of 3547 to 2,465 jobs in 2024.
The United States was the leading source of life sciences investment into the UK last year, contributing 27 projects, including 12 pharmaceuticals, nine medical devices projects and six health and social work sector projects.
Switzerland and Poland were the joint second largest sources of UK life sciences FDI, each contributing six projects.
Pic: Chokniti Khongchum
