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The UK is a life sciences superpower. Its exceptional strength in the research and production of world-class medicines and vaccines has developed over many decades out of a strong science base, open approach to foreign investment in pharmaceuticals, a skilled manufacturing workforce, and robust culture of protecting innovation through intellectual property (IP) rights. Its regulators are recognised as among the most experienced and sophisticated in the world.

This ecosystem enables the UK pharmaceutical sector to thrive as a major exporter of life-saving medicines to patients across the globe. Over £26.1 billion worth of medicinal and pharmaceutical products were exported around the world in 2023¹ – the third highest goods sector in the economy, which has increased 8% in the past 5 years². This figure is almost double the £14 billion worth of branded medicines procured by NHS England in 2023³, illustrating the scale and importance of UK pharmaceuticals trade flows compared to domestic consumption.

£25.4 billion worth of medicinal and pharmaceutical products were imported in 2023³, meaningÌýa trade surplus of £700Ìýmillion in medicinal and pharmaceutical products.

As well as exporting vital medical goods, the UK also exports life sciences ideas – licensing treatments for production, converting its own IP into manufactured medicines in markets around the world, and shaping debates about the present and future of medicines regulation and pharmaceutical innovation.

The sector’s strength is already recognised in the Life Sciences Industrial Strategy, where the Government has laid out its vision for transforming the UK into a global life sciences hub.

Outside of the EU, the UK needs a trade policy that aligns with this goal and is fully customised to its unique features: enabling the sector to pull in the imports, talent, and capital it needs for world-class science and manufacturing, and ensuring it can export UK pharmaceutical innovation easily and compete fairly in export markets. A trade policy for the pharmaceutical sector can and should encompass all these aspects in a single strategic vision that supports the Government’s broader industrial policy and public service priorities.

This vision can then inform a consistent UK approach to Free Trade Agreements (FTAs) and wider trade policy.

To achieve the Government’s ambition for the UK to thrive as a life sciences superpower, the Association of the British Pharmaceutical Industry (´ó·¢ÁùºÏ²Ê) believes the Government should establish three core pillars for its trade policy for pharmaceuticals.

References:

[The following data was verified on 17 July 2024]

1. : Country-by-commodity exports, Office of National Statistics [Accessed 17 July 2024]
2. : May 2024, Office for National StatisticsÌý[Accessed 17 July 2024]
3. : February 2024, DHSC [Accessed 17 July 2024]
4. : Country-by-commodity imports, Office for National Statistics [Accessed 17 July 2024]