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Europe

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According to the European Federation of Pharmaceutical Industries and Associations lobby group, by 2022 the continent’s share of R&D investment in rich world countries had fallen to 31 per cent, compared with 41 per cent two decades previously.

In 2024, R&D spending in Europe increased 4.4 per cent year-on-year but it was outpaced by the US at 5.5 per cent and China with 20.7 per cent.

Eli Lilly paused plans for a laboratory site in central London in September and Merck, known as MSD in Europe, has scrapped a proposed £1bn research centre. In January, AstraZeneca cancelled a £450mn plan for a UK vaccine manufacturing plant.

This has led to the continent for the first time falling behind China for the launch of new medicines, while the share of clinical trials in the European Economic Area has nearly halved over the past decade, falling to 12 per cent in 2023, from 22 per cent in 2013 despite a global increase in trials.

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