The UK Government has unveiled its new Industrial Strategy to boost the economy and see the country embrace technological innovations on its route to decarbonisation.
As part of the announcement, it has committed to investing a further £725 million over the next three years in the Industrial Strategy Challenge Fund (ISCF), to help respond to the challenges and opportunities faced by the UK.
The government said it would create ‘Sector Deals’ to help improve efficiency in the construction industry, develop and improve artificial intelligence (AI) technologies and enable the automotive sector to get cleaner.
The announcement also offered open invitations to businesses, academic groups and civil society to work and engage with the government to innovate and develop new technologies in these fields.
The UK has committed to raising total research and development (R&D) investment to 2.4% of GDP by 2027 and increasing the rate of R&D tax credit to 12%.
An additional £406 million will be used to address the shortage of science, technology, engineering and maths (STEM) skills.
The National Productivity Investment Fund will be increased to £31 billion, supporting investments in transport, housing and digital infrastructure, alongside driving more than £20 billion of investment in innovative and high potential businesses.
Prime Minister Theresa May said: “Our modern Industrial Strategy will shape a stronger and fairer economy for decades to come.
“It will help create the conditions where successful businesses can emerge and grow and support these businesses in seizing the big opportunities of our time, such as artificial intelligence and big data, whilst also making sure our young people have the skills to take on the high-paid, high-skilled jobs this creates.”