Wed, 10 Sep 2025

Wed, 10 Sep 2025 Major pharma firm scraps £1bn UK expansion

MSD, also known as Merck, says it will move its research to the US and cut more than 100 UK jobs.
MSD, a US-based pharmaceutical company, has scrapped its £1 billion expansion plans in the UK due to perceived lack of investment from the government in the life sciences sector. The company will instead relocate its research operations to the US and cut over 100 jobs in the UK. MSD blames successive governments for undervaluing innovative medicines and vaccines. The decision is seen as part of a wider trend, with other pharmaceutical companies like AstraZeneca and Novartis also scaling back or abandoning investments in the UK due to concerns over government support. The company's UK boss had previously warned that patients would lose access to cutting-edge treatments if Britain remained "largely uninvestable". Industry sources argue that MSD's decision is linked to pressure from the Trump administration to invest more in the US, rather than undervaluation by the UK government. They point out that the current pricing regime for medicines was agreed upon just 18 months ago and that companies are responding to changing market conditions in the US. A spokesperson for the Department of Industry, Science and Technology defended the government's investments in science and research, stating that there is "more work to do" to support the life sciences sector. The UK has been seen as an attractive place to invest due to its academic environment and NHS research platform, but industry leaders warn that this could change if the country fails to address its investment challenges.
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