Edinburgh has been identified as a leading location for life sciences development as investors look beyond cost and focus on areas that offer a broader range of attractions, such as good housing and digital infrastructure.
The new Alchemy Towns Index indicates that places outwith the “golden triangle” of Cambridge, London and Oxford, will compete for growth in sectors such as life sciences.
In a ranking by research consultancy ING of 40 locations, Edinburgh is fifth while Glasgow is in the top 15. Commissioned by construction and civil engineering company McLaughlin & Harvey, it finds that the future of UK life sciences development could expand beyond the best-known towns and cities as technology changes the market and factors such as access to housing, talent, infrastructure and favourable planning conditions become increasingly important.
Some may be surprised by the inclusion of Scotland’s two biggest cities on these factors, given the slowness of the planning regime compared with English local authorities, and the lack of available top grade commercial property.
However, the report says Edinburgh has many of the ingredients for growth of the life sciences sector. While it ranks 31st in the index for its life sciences ‘anchor’ institutions and market access, it ranks fourth for life sciences industry size and growth, second for soft power and quality of life, and seventh for digital infrastructure.
Across the Index, places score well when they combine scientific and clinical anchors with infrastructure, talent, housing, an effective planning system and a commercial property market that can support delivery. The report says these conditions can help developers, investors, universities, NHS partners and local authorities identify where future demand could take shape.
Glasgow ranks third among the towns and cities in the Index for access to talent, eighth for commercial property activity, value and viability and 11th for planning efficiency. These factors mean it is ranked 12th overall for future life sciences development potential, even though it is only 17th for life sciences industry size and growth, housing availability and affordability, and soft power and quality of life. It is assessed as being 27th among the 40 places in the Index for digital infrastructure and 28th for anchors and market access.
Dundee ranks eighth for life sciences industry size and growth, 11th for housing availability and affordability, 15th for digital infrastructure and 17th for planning efficiency. Its lower positions for commercial property, talent and market access mean it ranks 22nd overall.
Aberdeen ranks 14th for housing availability and affordability, 19th for soft power and quality of life, and 21st for commercial property activity, value and viability. It is 24th for life sciences industry size and growth and 33rd in the overall Alchemy Towns Index.
Alan Mackenzie, lead for life sciences and commercial at McLaughlin & Harvey, said: “The UK’s leading life sciences locations remain world-class, but scientific excellence will not be enough on its own to determine where the sector grows next. Places that can combine talent with homes, infrastructure and viable development opportunities are ideally placed to accommodate growing businesses and attract investment.”
The research was informed by a roundtable discussion about the future of life sciences development with contributions from leading experts across the UK.
Natalia Gospodinova, associate director at Linesight, said: “Location strategies are becoming increasingly important, with organisations looking beyond cost alone to assess long-term growth potential. Access to skilled talent, supportive local policies, and a business environment that encourages investment are key considerations.
“The most attractive locations also offer a strong return on investment, the capacity to scale, a smooth and predictable planning process, reliable utility infrastructure, and the availability of suitable land and development sites.”
The Alchemy Towns Index: top 20
1. London
2. Cambridge
3. Oxford
4. Manchester
5. Edinburgh
6. Birmingham
7. Liverpool
8. Leeds
9. Stevenage
10. Nottingham
11. Bristol
12. Glasgow
13. Cardiff
14. Newcastle
15. Sheffield
16. York
17. Luton
18. Milton Keynes
19. Slough
20. Norwich
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