The German biopharmaceutical company has signed a grant agreement with the British government to broaden its R&D activities to invest up to £1 billion. 

German biopharmaceutical company BioNTech has signed a grant agreement with the British government to broaden its R&D activities for innovative medicines in the fields of genomics, oncology, structural biology, and regenerative medicine, in the UK. As part of the agreement, BioNTech is committed to investing up to £1 billion over the next ten years. This is one of the biggest investments in the history of UK life sciences. 

The company’s efforts will be supported by a grant of up to £129 million over the same period. 

BioNTech will create two new R&D hubs – the first to be based in Cambridge, the second has not yet been announced – as well as an AI hub to be based at BioNTech’s planned UK headquarters in London. 

These are likely to create more than 400 jobs over the next ten years, including researchers in clinical and scientific drug development, bioinformatics, and a range of supporting functions. 

Indirectly, the investment is expected to create a substantial number of additional jobs in the supply chain.

Benchmark for the world

“This investment will propel the growth-driving life sciences sector to new heights, delivering cutting-edge facilities, building careers in the future-facing jobs we want our children to have, and ultimately unlocking progress in medical science that could save lives,” said science and technology secretary Peter Kyle. 

BioNTech is the company behind mRNA vaccines and cancer immunotherapies notably used to tackle COVID-19, and more recently trialled to help patients with cancer.

The deal builds on the government’s existing strategic partnership with BioNTech, to provide up to 10,000 patients with investigational personalised cancer immunotherapies by 2030 and broaden access to cancer vaccine trials.

The news was welcomed by the industry. Steve Bates, chief executive of the UK BioIndustry Association, said that the deal sets “a benchmark for the world”. 

“Big investments like this are years in the making and require both sides to have confidence that the other will deliver on their commitments. Trust is slow to build, but this deal shows it is worth the time and the risk,” said Richard Torbett, chief executive of the Association of the British Pharmaceutical Industry.